Shared Ownership Affordability Calculator
Updated on 2nd February 2025
25
25
70.00%
Share to Purchase Value: £62500
Mortgage of: £43750
Minimum Gross Income Required2: £9722
Monthly Mortgage: £254.49
Yearly Total Cost: £9410.10
Minimum Net Income Required3: £20911
Est. Gross Income Required4: £24486
- 1
When purchasing a new-build shared ownership home, the rent limit is 3% of the value of the share owned by the landlord, most landlords charge 2.75%.
Your landlord will review your rent annually in accordance with your lease. It is possible for your rent to increase, but it will not decrease. - 2
The mortgage amount should be between 2.5 times and 4.5 times an applicant's gross annual household income from employment plus any annual income from other sources.
- 3
Debt to net household Income ratio should has a maximum of 45%. This is a general rule of thumb and may vary.
- 4
Estimated Gross Income Required is calculated based on the minimum net income required and the average tax rate and national insurance contributions for the tax year 2024/25 in the UK.
How it works?
- This calculator allows users to input property details and financial information to estimate their affordability. It calculates monthly mortgage payments and assesses if the mortgage aligns with their budget.
- To ensure long-term sustainability, applicants should allocate 25% (min) and 45% (max) of their net wage, and 2.5x (min) and 4.5x (max) their gross income for home ownership.
- The figures from this calculator are only a guide. Contact a specific lender before committing to any mortgage.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS OF YOUR MORTGAGE.
Read the scheme on GOV.UK⎘ to study more.