Summary
Shared ownership is a government-backed housing scheme in the UK intended to help people buy homes gradually by purchasing a portion and paying mortgage and rent on the rest. Some participants, like Riccardo and Simone Bertagna, face unexpected challenges, including rising service charges and maintenance issues, which they say make these homes difficult to sell and unaffordable over time. A report from the National Audit Office highlights that many buyers might not fully understand the financial risks involved.
Key Facts
- Shared ownership allows people to buy part of a home and pay rent on the rest.
- Riccardo and Simone Bertagna own 25% of a flat in London and face rising service costs and maintenance issues.
- Their service charge increased to nearly £300 a month, despite property problems.
- The National Audit Office finds complexities in shared ownership can lead to financial difficulties.
- Shared owners might face high service charges, with no official cap on these fees.
- The scheme helps those with lower incomes who cannot afford full mortgage deposits.
- There are around 250,000 shared ownership homes in England.
