Selling shared ownership property involves a different process than selling a traditional home. There are specific legal requirements, strict timelines, and mandatory steps you must follow. Understanding the shared ownership resale process from start to finish will help you navigate it smoothly and avoid costly delays.
This guide walks you through everything you need to know about selling shared ownership property, from your initial notification to completion day.
Start by Reviewing Your Lease Agreement
Your lease is the foundation of the entire sale process. Before you do anything else, locate your lease and review it carefully. This document outlines your specific rights, responsibilities, and the exact procedures required by your housing provider.
Pay particular attention to clauses related to selling. These sections detail the nomination period length, any restrictions on who can buy your property, and the valuation requirements. Different housing associations have different terms, so your lease is your definitive guide.
If anything in your lease is unclear, contact your housing provider for clarification before proceeding. Understanding these terms now prevents complications later.
Notify Your Housing Provider
Once you've decided to sell, you must formally notify your housing provider or housing association in writing. This is a mandatory first step: you cannot proceed without it.
Your housing provider will acknowledge your notification and guide you through their established procedures. They'll explain the nomination period timeline and provide you with the necessary paperwork to complete. This notification triggers the start of the formal selling process.
Most providers have dedicated teams for resales, so you'll be assigned a contact person who can answer questions throughout the process.
Obtain a RICS Valuation
Before marketing your property, you must arrange an independent valuation from a RICS-qualified surveyor. This isn't optional: it's a strict requirement outlined in your lease agreement.
The RICS valuation establishes the official market value of your property and determines the selling price for your entire share. This valuation ensures fairness for all parties involved and removes any guesswork from the pricing process.
Your housing provider typically has a panel of approved valuers you can choose from. The cost of the valuation usually falls between £200 and £500, depending on your property size and location. Once complete, the valuation report goes to your housing provider for approval before you can proceed.
Understanding the Nomination Period
After your valuation is approved and you confirm your intention to sell, your housing provider enters an exclusive nomination period. This is when they have the first opportunity to find a buyer from their network.
The nomination period typically lasts between 4 and 12 weeks, depending on your specific lease terms. During this time, your housing provider markets your property to pre-qualified individuals on their waiting list who are looking for shared ownership properties in your area.
This system has advantages: these potential buyers have already been vetted for eligibility and often have their finances in order, which can lead to quicker sales. Your housing provider handles all the marketing during this period at no cost to you.
What Happens If the Housing Association Doesn't Find a Buyer
If your housing provider doesn't find a suitable buyer during the nomination period, you gain the right to market your property more broadly. You have several options at this stage.
Selling on the Open Market
You can hire an estate agent to market your property on the open market. However, any buyer must still meet the shared ownership eligibility criteria and receive approval from your housing provider.
This is where choosing the right agent makes a significant difference to your finances.
The Cost of Traditional Estate Agents
Traditional high-street estate agents typically charge between 1% and 3% of your property's sale price as commission. On a £250,000 property, that's between £2,500 and £7,500 in fees: a substantial amount that comes directly out of your proceeds.
For shared ownership properties, which often require additional paperwork and coordination with housing associations, some agents charge even higher fees.
A More Affordable Alternative: PE Homes
At PE Homes, we offer a straightforward solution: a fixed fee of just £500 to sell your shared ownership property. That's it. No percentage-based commissions, no hidden costs, no surprises.
For that fixed fee, you get:
- Full listings on Rightmove, Zoopla, and Primelocation: the UK's three largest property portals
- Professional photography that showcases your property at its best
- Accurate floorplans
- Management of all viewings and enquiries
- Expert guidance throughout the shared ownership resale process
The savings are considerable. On a typical shared ownership property sale, you could save thousands of pounds compared to traditional estate agents. Those savings stay in your pocket, helping with your next move or other financial goals.
Back-to-Back Staircasing: Selling When You Don't Own 100%
If you don't yet own 100% of your property but want to sell on the open market, you can apply for back-to-back staircasing (also called simultaneous sale).
This process allows you to staircase to 100% ownership and complete the sale on the same day. The key benefit is that you don't need to raise additional funds to buy the remaining share: the buyer's purchase money covers both the remaining equity purchase and your share.
Not all housing providers offer back-to-back staircasing, and some charge administrative fees for this service. Contact your housing provider to confirm if this option is available and what the associated costs are.
Buyer Approval Requirements
Regardless of how you find a buyer: through the housing provider's nomination period, an estate agent, or independently: any prospective buyer must meet specific criteria.
The buyer must be eligible for the shared ownership scheme according to current guidelines. They'll need to demonstrate they can afford the monthly costs, which include the mortgage on their share, rent on the remaining share, and service charges.
Your housing provider will conduct affordability checks and may require the buyer to work with a mortgage broker who understands shared ownership. This approval process typically takes a few weeks, so factor this into your timeline expectations.
Legal Documentation and Conveyancing
Once you have an approved buyer, the conveyancing process begins. Both you and your buyer need solicitors experienced in shared ownership transactions.
Your solicitor will:
- Coordinate with the buyer's solicitor and the housing provider's legal team
- Handle all required paperwork and searches
- Ensure all lease requirements are met
- Agree on completion dates that work for all parties
- Transfer funds and finalize the legal aspects on completion day
The conveyancing process for shared ownership can take slightly longer than standard property sales due to the additional parties involved. Expect the process to take between 8 and 12 weeks from acceptance of an offer to completion, though this can vary.
Completion Day
On the agreed completion date, all financial and legal aspects are finalized. The buyer's funds are transferred to your solicitor, who then pays off any outstanding mortgage, settles fees and costs, and transfers the remaining proceeds to you.
Your solicitor ensures property records are updated to reflect the new owner. Once funds clear and all paperwork is filed, the sale is officially complete.
Ready to Sell Your Shared Ownership Property?
Selling shared ownership property doesn't have to be expensive. With PE Homes' fixed fee of £500, you get professional service, maximum exposure across major property portals, and expert support: without the hefty commission fees charged by traditional agents.
We've helped hundreds of shared ownership sellers save thousands on estate agent fees. See what our clients say about us here.
Ready to get started? Contact PE Homes today and let us help you sell your shared ownership property for a fraction of the usual cost.
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