Teesside Property Solutions Ltd - Your No 1 Choice for properties in Teesside

3 Views

09 Nov 2020

a http 3A 2F 2Fwww tps-ltd com a Teesside Property Solutions Ltd - Your No 1 Choice for properties in Teesside What is the difference between shared ownership shared equity schemes and our joint equity project Shared Ownership is the mortgage scheme that you pay rent on the share of the equity you do not own Shared Equity is when you purchase a share of the property i e 85 and the other share i e 15 is retained by the builder and or Government and the main difference is that you do not pay rent on this share - these are due to expire What is the difference between Shared Equity Schemes and Share to Buy A share to buy mortgage is when 2 or more friends or families members are buying a property together What happens is that no one owns the property outright you all have a share in it The main difference is that you are sharing the ownership of the property with other private individuals rather than a housing association or builder In other words you still have a form of shared equity in that you do not own the whole property but have a share in it The main difference is that you are sharing the joint ownership of the property with other private individuals rather than the Government So what is Joint Equity provided by TPS Ltd A Joint Equity Scheme is used when a property is part owned and part rented by you These schemes are becoming very popular for first time buyers with a small deposit as you only pay the deposit on the share you own How is the rent calculated We will calculate your rent based on how much deposit you have available and the value of the property The client I have just helped their rent was 2 75 of the share owned by our Joint Venture Partner The share was 70 000 and the rent was 211 25 Are typical residential mortgage products the same if I buy a Joint equity house No not all lenders will consider lending on joint equity homes We will source available mortgage products through our brokers Do I earn too much to qualify for a Joint Equity Not in our scheme we operate a very similar to the government scheme however we are looking to help everyone not just low income families How much deposit I would need The deposit you need is based on the part of the property you purchase Not on the total purchase price The amount of deposit required can vary Joint Equity schemes vary to typical residential mortgage lending up to 95 of loan to value on the share you purchase For example if you bought a 25 share of a property valued at 210 000 then you would need a minimum deposit based on 2625 your share of 52 500 If you wanted to buy 50 then your share would be 105000 and you would therefore need a minimum deposit of 5250 Is it easy to qualify for the Joint Equity Scheme In theory yes as long as you and the property you wish to purchase meets our assessment criteria We have a legal requirement to include the following - Your home may be at risk if you do not keep up repayments on your mortgage