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I have a shared ownership lease. How is the rent that I pay calculated?

When the lease is first issued the rent that the leaseholder pays is generally calculated at 3% of the part owned/retained by the landlord.

For example if the property is worth £100,000 and the landlord’s share is 50%,  the rent paid by the leaseholder will be 3% of the share held by the landlord.

The rent will be; 3% of £50,000 which equals £1,500 per year or £125 per month. The lease will also provide that the rent will increase every year typically by a specified percentage above the upward movement of the Retail Price Index (RPI).


More information you might find useful:

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Contact LEASE to have your enquiry dealt with by one of our experienced advisers

LEASE is governed by a board, appointed as individuals by the Secretary of State for the Department for Levelling Up, Housing & Communities.

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