New Supply Shared Equity
Change of Owner
If as a home owner you wish to either add a new partner to the property or remove a partner who was on the original title, you should ask your legal adviser to approach your lender to seek their approval and at the same time contact us to let us know. We will send a letter confirming our fees, which are payable in advance and non refundable. It would be advisable that you check that your lender will approve the proposed change, prior to seeking the Association's consent.
Change of Lender
If as an owner you wish to re-mortgage and/or move to another lender, you must let us know. We will provide you with a letter confirming our fees which will be payable in advance and which will be non returnable. Where the additional secured lending is in excess of £2000 the Association will need to consider if there is sufficient equity available for this accrued on the property and we will also need to know the reason for the borrowing. Borrowing will only be considered for home improvements or debt consolidation. A valuation will be required. If the valuation demonstrates that there is sufficient equity in the property the valuation will need to be sent to the Scottish Government for approval.
Increased Stake
A minimum wait of two years after the initial purchase is required before you can increase your equity stake in the property. The scheme does not allow you to reduce your percentage. The stake can be increased regardless of whether the open market value of your property has increased or decreased. A valuation will be determined by the District Valuer or other such professionally qualified valuer as agreed between the Scottish Ministers and the owner. The valuation will reflect any improvements carried out to the property. As the owner, you will be responsible for meeting all costs including those incurred by the Association when increasing your equity stake.
Sales
If you as owner wish to sell, this can be effected at any time; however you must let us know of your decision and provide us with a Home Report. We will acknowledge your request and provide you with relevant information for the sale to be progressed.
All shared equity arrangements endure for an initial and total period of 19 years. Accordingly, following this period of time, the Association will require to write to any owners who have not purchased the remainder of the equity share to set out the position in respect of repayment. or, if relevant, extension.
