How to sell your shared ownership property

Find out how many years are left on your lease. The lease length will affect the property’s value.

If your lease has 90 years or less, you may want to extend it. A longer lease adds value to the property and is more appealing to buyers.

If your lease has 80 years or less remaining, it’s unlikely you’ll find a buyer unless you extend it. Extending a lease can cost thousands of pounds.

Check whether your housing provider is willing to extend your lease.

Find out more: extending your shared ownership lease

Check your lease

Find out what your lease says about selling your property.

For example, there may be a:

• first refusal clause – a rule that says you have to offer the property to the housing provider to buy back
• nomination period – a period of time in which the housing provider has to find a buyer

A nomination period can be 4, 8 or 12 weeks, so you’ll need to factor this into the timeline of your sale.

Ask your housing provider about any selling restrictions

Find out if there are any restrictions on selling your property. For example, some properties cannot be sold on the open market (even if you’ve staircased to 100%) because the housing provider needs to keep a certain number.

You must inform your housing provider that you plan to sell your property. Different housing providers have different procedures for this. For example, you may be asked to write a letter, or to complete a form.

You will need to gather certain documents for the sale. You’ll need to provide some of the documents and others you’ll need to get from your housing provider or management company, if you have one.

If your housing provider takes a long time to provide the documents you need, this can delay your sale and buyers may pull out. Request these documents as early as possible.

Documents to get from your housing provider: checklist

You’ll need to request the:

• management pack (leasehold information pack) – this includes:
  • the LPE1 form, which collects information about planned works
  • ground rent
  • service charges
  • insurance
  • other things affecting the building
• EWS1 form (if your property is 11 metres or taller and has cladding)

You may need to request information to complete the following forms:

• the fixtures and contents form (TA10) – lists all the fixtures and fittings included in the sale
• the property information form (TA6) – contains important information about the property

You will need to choose a surveyor registered with the Royal Institution of Chartered Surveyors (RICS) to value your property.

You can either:

• use one from the housing provider’s panel of RICS surveyors
• choose your own surveyor, as long as they’re registered with RICS

Once the property is valued, you’ll be able to work out the value of the share you own (the share that you’re selling).

If the value of your share is quite high, your housing provider may struggle to find a buyer who can afford it. If they cannot find a buyer, they may let you sell your share on the open market.

Your housing provider will have a panel of conveyancers you can use. You can also choose your own, as long as the housing provider approves them.

If you choose your own conveyancer, make sure they’re experienced in selling shared ownership properties. You may want to use the conveyancer you used when you bought the property, because they will already be familiar with it.

Your housing provider may have a set period of time to find a buyer (a nomination period) of 4, 8 or 12 weeks. If they do not find a buyer within this time, you can sell the property on the open market.

This is the stage where the conveyancers will gather all the legal paperwork.

Once the conveyancers have exchanged contracts, you’ll be legally bound to sell the property. You will receive payment for your share of the property on completion day.