Selling a shared ownership property back to the housing association

Selling your share in a shared ownership property involves navigating a strict set of rules. In extraordinary circumstances, such as those ongoing in Stratford Halo, where hundreds of residents have been moved out of their homes, residents get a chance to sell their share back to the housing association.

This blog looks at the process of selling a shared ownership home and some practical considerations if you are considering a sale back to your housing association.

Shared Ownership sales

Shared ownership is a government-backed scheme that allows buyers to purchase a share in a property and pay below-market-value rent on the remainder to a housing association. The owned share commonly ranges between 25% and 75%, with mortgage finance needed only on the portion owned.

Selling a shared ownership property usually involves additional steps compared with selling a fully owned home. Most significantly, the housing association will often have nomination rights. This means that if you wish to sell, the association will typically have a set nomination period (as usually defined within your lease) to find a buyer who meets the shared ownership eligibility criteria.

Sellers must also obtain an up-to-date valuation from an approved surveyor. The sale price is then usually fixed at this valuation.

The Stratford Halo position

At Stratford in east London, serious structural concerns have affected residents at Stratford Halo. Cracks in structural columns led to the relocation of around 300 residents from three apartment blocks while investigations and works are undertaken.

We understand that Notting Hill Genesis (NHG), the housing association, has offered certain shared ownership leaseholders the opportunity to sell their share back under a buyback scheme.

NHG has indicated that this buyback scheme is currently open until 1 June 2026, although this date is being kept under review.

Considering a sale back to the housing association

If you are offered the opportunity to sell your share back, it is important to understand the legal and practical implications of the transaction.

A sale back to a housing association is still a property transaction requiring careful handling of the contract, valuation, mortgage redemption (if applicable), and compliance with the terms of your lease. Ensuring that the documentation is correctly prepared and that your interests are properly represented can help the process proceed as smoothly as possible.

The decision whether to sell is a personal one that will depend on your individual circumstances. If you decide to proceed with a sale back to your housing association, having an experienced shared ownership solicitor to act on your behalf can provide clarity and reassurance throughout the transaction.

Speak to an expert

At Attwaters, our Residential Property specialists have extensive experience in shared ownership transactions, including acting for leaseholders selling their share back to a housing association.

If you are planning to sell your share back to the housing association, and would like a solicitor to represent you in the transaction, please give us a call on 0330 221 8855 or email enquiries@attwaters.co.uk.