Skip to main content Skip to footer

FLATS - need advice please

I know nothing about homes or flats and I will be a first time buyer. Seen a flat for £30,000 with 20% share, does share mean I own 20%? Is there any advantages or disadvantages in shares? I was told when owning a flat it is not good idea because there would be additional costs? Is there any additional cost when owning a flat? If anyone has ever owned a flat, could you give me any advice and the disadvantages and advantages compared to a house.

Asked on Apr 14 2012, General in Birmingham | Report content

Answers (2)

Was this question useful? Yes 0 No 0

Sort by: Oldest | Recent | Highest rated

  • Shared ownership with Registered Social Landlord. You will part own (20% here) and lease the rest. You will pay rent on the 80%. If you can staircase up and buy more the amount of rent will go down. You will most likely also pay ground rent. You will most likely also pay an annual service charge.

    Answered on Apr 17 2012, Report content
  • If you're concerned about part ownership have you considered using a scheme that allows you to own the whole apartment but part of the mortgage is paid for by a loan? For example, First Buy is the new government backed scheme which allows you to put 5% deposit down, get a mortgage for 75% of the value, and the remaining 20% is loaned to you, so officially the apartment is entirely yours from day 1. Tha advantage of that is you're secure in the knowledge that your apartment is totally yours and there won't be hidden charges, and as long as you can pay the mortgage and eventually repay the loan (interest free for the first 5 years), you won't have to worry! There are currently one and two bedroom apartments in Edgbaston on First Buy, that you can get info on at the website below. Hope that helps!

    Answered on May 11 2012, Report content

Didn't find what you were looking for? Ask a question

More General in Birmingham questions on AskMe

See more AskMe Q&A about General