The scheme allows people to buy a new build property on a shared ownership basis, paying rent for the portion owned by Co-Ownership, the Northern Ireland’s Executive’s charitable delivery partner.
Final offers to buyers already made under the scheme are unaffected, and buyers that have an Agreement in Principle (AIP) of £175,000 but have not yet uploaded a property that has gone to final offer stage can contact Co-Ownership to discuss increasing it. This will depend on the financial circumstances of the buyer.
No obligation to buy further shares in the property
Buyers using the scheme can purchase further shares in their property in five per cent increments in the future, reducing the rent payable. While they are encouraged to do so, there is no obligation to buy further shares in the property at any point, and the properties are rented to buyers on a 99-year lease.
The majority of people who use the scheme are first-time buyers, but the only criteria in this respect is that applicants do not own any property at the time of application.
Challenging economic outlook
The move comes in recognition of the challenging and uncertain economic situation and means that the threshold remains higher than the average house price in Northern Ireland.
The scheme has helped over 30,000 people to date and year on year is responsible for around 10 per cent of the first buyers' market in Northern Ireland. Rents due under the scheme are considerably cheaper than those in the PRS, with the rent on 50 per cent of a £120,000 property being £125.
