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.

Shared Ownership

In order to qualify for shared ownership, you need to be a New Zealand Citizen or Permanent Resident, have a 5% deposit from savings or Kiwisaver, be less than $15k in debt, have a household income of $120,000 and be at least 18 years old. There is a strong preference for first-home buyers.
The deposit of 5% is lower than the standard deposit requirement of 20%, which opens up home ownership to many more financially capable buyers. There is no income cap, YouOwn partners with specific lenders who have systems in place for the shared ownership programme. The programme is designed for those who are struggling to get 20% deposit.
If you’re wanting to buy a house but the concept of pulling together the standard 20% deposit sounds like a distant dream; you’re in a financially stable situation with a minimum household income of $120,000; you don’t have very much debt, and the debt you do have is manageable; you’re willing to make the commitment required with repayments, then yes, shared ownership is a good solution to consider.
With YouOwn’s programme, you can sell at any time after five years or buy them out. You list your house with a real estate agent.
‘Shared ownership’ means you are buying your house with someone else. So, instead of owning 100% of your first home, you own 75% to 85% of the property depending on how much you can afford. You pay a monthly equity fee to the third party, and after five years you can buy their share of the house, and become the complete owner.
There is no minimum income but to buy a house in Auckland you generally need household income of around $120,000 to borrow enough with 5% deposit.
You must be at least 18 years old (a legal adult in New Zealand) to be able to borrow from a bank. There is no maximum age but you do need to consider how you will pay the mortgage once you reach retirement age.
By purchasing a 75%-85% share of a property rather than the whole property, you have a lower mortgage. You do pay a monthly fee on the shared ownership, but the cost of this and your mortgage payment, is less than the interest rates the banks charge on low equity home loans.
If your financial or situational circumstances change, yes, you may rent the property.
Not all lenders offer home loans for shared ownership. The selection of houses you can buy through shared ownership is more limited, as they are newly built homes. Capital gains or losses are shared relative to ownership.
There are many benefits to shared ownership such as; getting you on the property ladder as an owner-occupier without overstretching yourself, a smaller deposit, no time pressure to buy the entire property, trusted builders and quality homes, especially lenders who specialise in lending for shared ownership, shared equity payments are less than having a mortgage over the whole house.
After five years you will have paid off some of your home loan. You can redraw this amount to buy out some of the shared ownership.
The shared ownership scheme is designed to benefit those who are struggling to get onto the property ladder, these are primarily first-home buyers.
The deposit requirement on a shared ownership property is only 5%, which is much less than the standard 20% required by l,banks due to the loan-to-value ratio restrictions.
No. If you’re constantly missing a credit card or loan repayment, are showing signs of being on the road to bankruptcy, haven’t kept up with previous rental payments or generally have lots of negatives on record in your credit history, this can mean that lenders may see your involvement in a shared ownership mortgage as too big a risk.
Yes, buying a Shared Ownership property without a mortgage is possible to pay for your share.
A shared ownership mortgage is an arrangement under which a borrower and another party share ownership of a property. The borrower must occupy the property. When the property sells, the allocation of equity goes to each party according to their financial contribution.
When buying a house, co-ownership is making a financial agreement with a third party to co-own a home until you are able to buy the third party’s share. Your deposit is just 5% instead of 20%. Throughout the partnership, you pay a monthly fee on the third party’s share in the property. The property is revalued every five years which could mean possible increases or decreases in the equity fee you will pay to the third party.
Co-ownership of a property means co-owning a home with a third party. So, instead of you paying a huge deposit on your own for an entire property’s mortgage, you pay a smaller deposit for a share of the home and buy out the third party when you are able to, after the first five years. This means that you are not the sole owner until you have paid everything off.
To buy your own house you put a financial plan together to repay or reduce debt and have a deposit of 5%. It is a good idea to have an idea of how much houses cost in the location you want to live and how much you can borrow.
The shared ownership scheme is designed to get people into their first home, so the concept of buying to rent isn’t encouraged. If you are able to buy a property but intend to rent it out, you will need to qualify for an investment loan, and the deposit requirement is higher than 20%.
A shared equity property means allowing a third party such as YouOwn to own a share of your property. You could then buy the remaining share off the third party when you can afford to, including any capital gains/losses.
Shared equity of a property means sharing ownership of a home with a third party. So, instead of you paying a huge deposit on your own for an entire property’s mortgage, you pay a smaller deposit for a share of the home and buy out the third party when you are able to, after the first five years. This means that you are not the sole owner until you have paid everything off.

Entry Qualifications

YouOwn is a private programme and there is no income cap or eligibility criteria specified by the government.
You may rent this property if your circumstances change.
You need at least 5% of the purchase price of the house. You may be eligible to withdraw some savings from your KiwiSaver if this is your first home. Check with your KiwiSaver provider.
With houses priced in the range of $600,000 to $1m Auckland you're likely to need to be able to borrow around $550,000. For a couple this requires an income of at least $120,000 per annum but may vary depending on other expenses and debt you have.

Purchase Process

The programme is for new houses and apartments supplied by recognised building companies.
The builder sets the price of the house. YouOwn buys 15% to 25% with you so you will need 75% to 85% from your deposit and home loan.
We can put you in contact with one of our financial partners to talk about your home lending options.
The lender will require a market valuation from an independent registered valuer and we will arrange this for you.


YouOwn plays a passive role. When the property is sold, we get our share of the sale price.
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. Currently this is 4.95% This is fixed for five years and is payable monthly. At the fifth anniversary the equity charge is increased by the change in the value of your house. There is no application cost or other upfront fee. Instead YouOwn charges a transaction fee to the builder or vendor. You pay the costs of obtaining a home loan, such as legal, valuation and the loan application fee.
All the usual costs of home ownership including rates, insurance and maintenance. Because the house is new there should not be a lot of maintenance.

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