Shared Ownership Calculator UK 2025

How does shared ownership work?

Shared ownership lets you buy a share of a property (between 10% and 75%) and pay subsidised rent on the remaining share owned by a housing association. You take out a mortgage on your share only, which requires a smaller deposit. Over time, you can buy additional shares through a process called staircasing until you own 100% outright. The scheme is administered by Homes England and is primarily aimed at first-time buyers and those who previously owned a home but can no longer afford to buy.

What is the maximum income for shared ownership?

As of 2025, the income cap for shared ownership in England is £80,000 per year for household income outside London, and £90,000 per year in London. These thresholds apply to total household income across all applicants. You must also be unable to buy a home suitable for your needs on the open market. Different rules apply in Wales, Scotland and Northern Ireland where the scheme operates differently.

Do I pay stamp duty on shared ownership?

Shared ownership buyers have two SDLT options. You can pay stamp duty only on the share you are buying (which may be nil for first-time buyers on lower-value shares), or make a one-off SDLT election to pay on the full market value upfront — avoiding further SDLT when staircasing. First-time buyers purchasing a shared ownership home worth up to £500,000 pay no SDLT on shares up to that threshold. Always seek specialist advice as shared ownership SDLT is complex.

Can I sublet a shared ownership property?

Generally, subletting a shared ownership property is not permitted unless you own 100% of the property (have fully staircased). Most shared ownership leases expressly prohibit subletting. Some housing associations may grant permission in exceptional circumstances such as military deployment or severe financial hardship. Always check your lease and get written consent from the housing association before subletting, as doing so without permission can be a serious breach of your lease.

What is staircasing in shared ownership?

Staircasing is the process of buying additional shares in your shared ownership property over time. Under 2021 reforms, you can buy shares in increments as small as 1% per year. The property is revalued at current market prices each time you staircase, and you pay the current market rate for the additional share.

Costs include legal fees (£500–£1,500) and valuation fees (£250–£600). Once you reach 100% ownership, you become the outright owner and no longer pay rent.

What are the monthly costs of shared ownership?

Monthly shared ownership costs include: (1) mortgage payment on your share (e.g. at 4.5–5% interest over 25 years); (2) subsidised rent on the unsold share at approximately 2.75% per year of the unsold share value divided by 12; (3) service charge covering building maintenance and management — typically £100 to £400 per month for flats. For a £300,000 London flat with a 25% share, total monthly costs typically range from £1,000 to £1,600 depending on your mortgage rate and service charge.