10 simple steps to buying a Shared Ownership home
Buying through Shared Ownership may feel daunting with lots to understand. However, we are here to help you every step of the way.
Take a look at our quick 10-step guide to buying a Shared Ownership home, or contact us to speak to a member of our team who will be happy to support you.
What you will need:
- Proof of ID (for example, passport or driving licence)
- Proof of address (for example, a recent utility bill or bank statement)
- Proof of income (recent payslips and/or your employment contract)
- Bank statements (to show your income, outgoings and savings)
- Details of your deposit and savings, including the source of funds
- Evidence of benefits (if applicable)
- Details of any credit commitments (loans, credit cards, car finance, childcare costs, etc.)
Once you have found a place you love, get in touch with the Peabody team by completing an application form to let us know you are interested
Search our available homes and register your interest to find out more.
Before you can view any homes, we’ll need to make sure that you meet all the criteria for Shared Ownership. This is so we can help make sure the home is right for you.
We’ll arrange for you to have an initial assessment with an Independent Mortgage Advisor (IMA) to understand a bit more about your financial position and whether Shared Ownership is the best option for you.
Once the show home is ready, we will invite you to book a property viewing either in person or online from the comfort of your own home, whatever suits you best.
If you like what you see, you can reserve a home for £500. When making a reservation, you can choose a selection of homes including your preferred choices. This will give you a higher chance of being offered a home if we receive more than one reservation for any single property.
Find out more about Shared Ownership eligibility and priority when reserving a home.
Within seven days of you making a reservation we will confirm whether we are able to offer you a Shared Ownership home with an offer letter.
If we receive more than one reservation for the home, we will make a decision based on who best meets the eligibility criteria and the minimum affordability requirements.
Once you have been offered a property, you will be invited to meet an Independent Mortgage Advisor (IMA) from our selected panel of experts. During this meeting, they’ll do a more in-depth check to ensure you are able to afford the home and double-check you meet the eligibility criteria. They will also help you work out how much of the home you could buy initially.
You will need to bring some ID, bank statements and payslips. This is a detailed discussion and may take up to an hour. You must complete the Financial Assessment within five days of being offered a property. You are under no obligation to use the Mortgage Advisor to obtain your mortgage.
You will need to formally instruct a solicitor and mortgage advisor on the day of your financial assessment. Once you’ve instructed a solicitor and mortgage advisor, you will need to complete an Offer Acceptance Form. It’s at this stage your reservation fee will be non-refundable up to completion. We recommend using an independent solicitor and mortgage broker who specialise in Shared Ownership as they are experienced in the process of purchasing a home through this scheme.
You can choose from our selected panel of Independent Mortgage Advisors and solicitors if you wish, or appoint your own. Some Mortgage Advisors will offer this service free of charge while others charge a small fee, so please check before choosing.
You will need to submit a mortgage application within two working days of your financial assessment. If you are going directly to a lender to obtain your mortgage, you may need to book an appointment with them in advance of your financial assessment to make sure you’re able to meet this timescale.
An independent valuation of your new home will be carried out on behalf of the mortgage lender. If they are satisfied with the valuation and financial checks, they will present you with a mortgage offer.
When you have received your mortgage offer and you have provided your solicitor with sufficient responses to any enquiries they may have.
While you arrange your mortgage, Peabody’s solicitor will be in communication with your solicitor to provide legal paperwork and respond to any legal enquiries. Once we receive an offer acceptance form following a successful financial assessment, we will send a Memorandum of Sale to your solicitors.
After all legal enquiries have been satisfied, your solicitor will contact you to arrange the exchange of contracts. Upon exchange, you’re legally bound to buy the home and Peabody is legally required to sell you the property. This is usually within six weeks of you being offered the home or within five working days of receiving your mortgage offer (whichever date is earliest).
As soon as the property is ready to move into, a completion date will be arranged.
On completion day, the money to buy your home is transferred to our solicitors. This is typically within 10 days of exchanging of contracts if your home is ready or longer if the home is still being built. Prior to your completion date, we will be in contact with you to arrange a time to collect your keys, usually late afternoon.
Once completion has taken place, you will legally own your home through Shared Ownership!
When you move in, our team will be on hand to welcome you and show you how everything works in your new home. They will also help you take meter readings and answer any questions you may have about your new home.
You will also receive a New Home Guide with useful information about your new home, including what is considered a defect and the process to follow, as well as any applicable certificates for your home.
Buying more shares in your Shared Ownership home
You will also be able to buy more shares in your home if you choose. This is called ‘Staircasing’.
Through Staircasing, you can increase the percentage of your home that you own in stages. For full details on how it works, including costs and process, visit our Staircasing page.
Frequently asked questions about the Shared Ownership Purchase Process
The Shared Ownership purchase process typically takes between 1 to 3 months, but this can vary depending on individual circumstances. Factors like how quickly you provide documentation, how soon your mortgage offer is issued, and the time required for legal work can all impact the timeline.
During the initial financial assessment (Step 2), you’ll complete a quick check to determine your affordability for a Shared Ownership house purchase. This usually includes providing details about your income, outgoings, credit commitments, and savings. The goal is to ensure that Shared Ownership is suitable for you and to estimate what share of the property you can afford.
The initial share you can purchase typically ranges from 25% to 75% of the property’s full market value, depending on what you can afford. The exact share will be determined after your full financial assessment (Step 5) and is subject to the specific terms of the development.
When buying a Shared Ownership home, you should budget around £4000 for the following additional costs:
- Reservation fee (usually around £500)
- Solicitor's fees
- Mortgage arrangement and valuation fees
- Deposit (based on the share you’re buying, often 5–10% of that share)
- Monthly costs, including: Mortgage repayment (on your share), Rent (on the share owned by the housing provider), Service charges and ground rent (if applicable)
Your mortgage advisor and solicitor will give you a detailed breakdown of expected costs.
Selling a Shared Ownership home is called a resale, and you can do it at any time. When you're ready to move on, Peabody will guide you through the process to make it as smooth as possible.
Here’s how it works:
- Step 1: Let Peabody know – Fill out the Intention to Sell form and arrange for an independent valuation to determine your home’s current market value.
- Step 2: Marketing your home – Peabody will help you prepare your home for sale, including recommending professional services like photography, floorplans, and EPCs. Your property will be listed on Peabody’s website, sent to their database of interested buyers, and advertised on popular platforms like Share to Buy.
- Step 3: Finding a buyer – Peabody will arrange viewings, approve applications, and allocate a buyer. They’ll manage the process from start to finish.
With access to a large network of Shared Ownership buyers and transparent fees, Peabody provides full support throughout the resale process to ensure everything is clear and stress-free.
Homeowner Stories
Discover a collection of homeowner stories from previous Peabody New Homes purchasers and find out how we were able to help them onto the property ladder and find their dream home through Shared Ownership.
"It feels amazing to be paying my own mortgage instead of someone else’s. I also plan to staircase in the future to increase my ownership share. Never in my wildest dreams did I imagine owning such an incredible property in such a perfect location - but here I am."
"We plan to staircase. When we staircase to 100% at The Lanes, we will even own the freehold of the property - something I didn’t think would be possible a few months ago!"
"When I look back at the first home I had reserved, I feel so lucky it fell through, as the day I visited The Switch I just knew it was the perfect place for me."