Shared ownership is now viewed by many as the ‘key route’ onto the housing ladder, new report reveals.
A new study by the Chartered Institute of Housing (CIH) and Orbit discovered 34% of the 2,200 adults polled by Ipsos MORI said they knew about shared ownership.
This compares to 32% who reported knowing about Right to Buy and 28% who knew about the Help to Buy equity loan.
The increasing popularity of shared ownership, which offers potential buyers the chance to purchase part of their home and then pay rent on the remaining share, has also meant demand has outstripped supply.
The CIH and Orbit found 85,000 applications were made for the 8,000 shared ownership homes available last year.
Gavin Smart, deputy chief executive of the CIH, said: ‘What this report shows is that shared ownership is now a popular and affordable route for many people in the UK to get a home.
‘As house prices continue to rise, shared ownership is an option for the growing group of people for whom home ownership is increasingly out of reach, but who don’t have the level of need to qualify for social housing.’
He also welcomed the Government’s £1.4bn of funding earmarked to build 135,000 new shared ownership homes.
‘It is pleasing to see more Government funding being diverted towards shared ownership as this report makes it clear we need many more homes to cater for growing demand,’ Mr Smart said.
Boris Worrall, executive director of futures at Orbit, also commented: ‘This research shows that shared ownership is gaining real momentum as a popular and well-known route into homeownership for thousands of people who would otherwise be priced out of the market.
‘Government support and the sector’s ambition, alongside better marketing and management, indicate an even brighter future for this affordable and aspirational product.’