If you’re interested in co-ownership with us, you probably have a few questions about the process. We’ve provided answers to some of the more common questions we get asked below.

Home Ownership with YouOwn

YouOwn is an impact fund set up to help first home buyers buy their own homes.
YouOwn invests up to 15% to take your deposit to 20%. YouOwn has partnered with lenders who provide the 80% home loan.
In order to qualify for co-ownership, you need to be a New Zealand Citizen, Permanent Resident or have a Resident Visa, have a 5% deposit from savings or Kiwisaver, have good credit and have sufficient household income to pay the home loan and YouOwn’s equity charge.
YouOwn partners with specific lenders who provide home loans for co-ownership with YouOwn. You will need to meet the credit criteria of the lender.
There is no maximum or minimum income for co-ownership with YouOwn.
If your circumstances change, yes, you may rent the property.
The logic of co-ownership programmes is the funds to buy out the partner’s share comes from the principal paid off your home loan and the capital growth on the property. You should be able to do this in five years.
The deposit requirement with YouOwn is 5%, which is much less than the standard 20% required by banks. Some banks offer 95% home loans – however the interest rates on these loans are higher than the interest rates on an 80% home loan.

Purchase Process

You can purchase a new house or one that is already built. You will find YouOwn’s purchase criteria here
YouOwn refers you to a financial advisor for an assessment of how much you can borrow and the price you can pay for a house.
You negotiate the purchase price of the house with the vendor. YouOwn will require a an independent valuation to confirm the purchase price.

Co-Ownership with YouOwn

YouOwn plays a passive role. You will have the quiet enjoyment of your home.
At any time after the fifth anniversary.
No – YouOwn will own the house with you until you buy our share or sell the house.
There is an equity charge on the amount of YouOwn’s share of 5.95% p.a. This is fixed and is payable monthly. When you buy your home at the outset, there is a fee of $1,100. You pay the costs of obtaining a home loan, such as the legal and valuation fees.
The usual costs of owning a home such as rates, insurance and maintenance.
‘Co-ownership’ means you are buying your house with someone else. So, instead of owning 100% of your home, you own 85% of the property, and after five years you are able to buy out YouOwn’s 15% and achieve 100% ownership.
Co-ownership allows you to buy a house with 5% deposit and means you can buy a house much sooner than if you wait until you have 20% deposit.
YouOwn is funded by charities and community trusts in New Zealand.

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