We understand that when you are hoping to buy your own home it’s important to get a prompt answer on whether we can support your application. That’s why the Co-Own application process is spilt into 2 stages.
Firstly, we look at your circumstances; your employment, income and financial commitments and we also review your credit report with Experian (To find out how we work with Experian click here). Each application is reviewed by one of our assessors and there is a £100 assessment fee for this. It is a similar assessment as a lender will take when considering you for a mortgage.
Typically, your case will be assessed within 3-4 working days. If you are approved, you will receive an Approval in Principle which should give you an indication of the value of a home that you could purchase through Co-Own. It’s valid for 3 months and should help you shop around for the perfect home for you. You will receive a notification email asking you to log into the portal. Your Approval in Principle can be found under the documents section.
Co-Ownership needs to approve the home that you choose, and we’re focused on buying quality homes for our customers so before you agree a home for sale please check through our property criteria which can be found here.
Once you are sale agreed on a property, upload the details to our website and we will instruct the survey. There will be a £450 property fee to cover the survey of the home and the legal fees for the purchase.
What is included in the Approval in Principle?
1. The maximum purchase price based on a 50:50 share
This amount is worked out using our affordability rules and the information that we receive from Experian. You can choose a home up to the maximum price but please be aware that once we’ve surveyed your potential home, we will be completing a final assessment to ensure that you need Co-Ownership’s support in purchasing it and to agree the final equity share.
2. Date the offer expires
The Approval in Principle is valid for 3 months. Within this time frame, you must sale agree a property and upload the details to our website. This will allow us to carry out the valuation and issue you with a formal offer.
3. Next stages
The Approval in Principle includes the details of what you need to do to progress your application further.
4. What does it mean for me?
The Approval in Principle means that you can have the confidence to go looking at houses knowing that you have been approved by Co-Ownership. It can also be shared with your estate agent to confirm that Co-Ownership has approved you and that the only thing we need to do now is approve the property.
5. At what stage should I arrange my mortgage?
It’s helpful to talk to your chosen lender or financial adviser to understand your mortgage options as to buy with Co-Own you will need a mortgage. However, most lenders will want to see your final offer from Co-Ownership before considering your application. You can find a list of lenders who offer Co-Ownership mortgage here