Finances can be tight after a divorce or separation and many people simply don’t have the available funds to buy their own home on the open market.
But shared ownership schemes like the one offered by Raglan Housing to Tony Upsher, 51, can make owning your own home affordable and entirely possible.
Tony, a telephone engineer, had virtually given up on owning his own home again in Sherborne, Dorset, when he heard about Raglan Housing’s part rent, part buy scheme in Portman Mews, a smart new housing development close to the town centre.
Following the break-up of his marriage, Tony was living in rented accommodation in Sherborne. As he and his wife shared joint custody of their son, he wanted to remain in the town and ideally, buy a property of his own rather than continue to rent. But with average house prices close to £300,000 in this popular historic market town, Tony wasn’t hopeful he would be able to find something he could afford.
Raglan’s shared-ownership solution
Buying under shared ownership enables purchasers to buy the share of their home that they can afford – in Tony’s case 50 per cent – and pay a subsidised rent on the remaining share of the property. They can increase their share at any time, right up to 100 per cent ownership.
“Houses are expensive in Sherborne and after my marriage break-up, I didn’t have enough money to buy outright,” explained Tony. “When I found out about Raglan’s shared ownership scheme at Portman Mews, it seemed like a really affordable solution for me. As my monthly payments were about £50 more than what I was spending on rent, it made sense to buy.
“I initially found out about the scheme through Raglan’s selling agents Connells, who told me that as I lived in Sherborne and had relatives locally, I was eligible for the Raglan shared ownership scheme. I thought my equity would be too much and wouldn’t meet the criteria but it wasn’t the case. Connells – who were selling the properties – got the ball rolling.
“The house I wanted to buy in Portman Mews was a two-bedroom, end of terrace priced at £238,000. The purchasing process – which was overseen and managed by Raglan – was easy. Nationwide helped me arrange a £55,000 mortgage through Nationwide which enabled me to buy a 50 per cent share of the property for £119,000 and pay rent at an affordable, below-market rate on the remaining sum to Raglan.”
Tony is now delighted with his new home which he says comes with a nice-sized garden and a useful potting shed, water butt and compost bin. “I’ve owned houses before but never brand new like this one which I could move right into. The build quality of the house is excellent and it’s designed to be energy-efficient and economical to run.”
The two-bedroom Portman Mews property features an open plan finished kitchen and living room with a downstairs WC and upstairs fitted bathroom. “I really like the accommodation,” said Tony. “The kitchen is nice and big and I have a spacious main bedroom plus a good-sized second bedroom for my son who lives with me part-time. The house has low-energy lighting and various other energy-saving systems including a heat recovery system in every room.”
Tony also likes the fact that Portman Mews is so conveniently situated close to local shops and amenities. “This is a great central location yet it’s so quiet that you wouldn’t know you were in the town! I can walk to work and I’ve got the train and buses all close-by. I’m also close to the leisure centre where I do sports three to four times a week.”
Tony has an 18 year mortgage but plans to eventually buy his new home in Portman Mews outright.
