Shared Ownership and 45% ratio?

[BerryCheesecake]

Applied for a shared ownership property today and went for their 'affordability' assessment.

They put all the information into something called "shared ownership purchase affordability assessment" form and there was a little calculator at the bottom which states how much of a share you can purchase to keep you under the 45% "monthy payments to household income ratio".

The calculator has claimed that we cannot afford the 50% share without a huge deposit (to still be within their 45% affordability ratio).

BUT, we have a mortgage offer from a company who is willing to give me a 95% mortgage on my share with a 5% deposit ( which we can afford).

Is there any way round or a way to over ride this 45% thing he said is set by the Government? is it set in stone or can individual housing schemes accept people who would exceed this 45% thing?

Any advice appreciated as we so desperatly want this house and it was all good to go until this point!

Just go ahead with the purchase - you can always add to it later if you want, and circumstances allow. Wasn't that made clear? It is still a worthwhile investment.

They won't let me go ahead as apparently I don't 'fit' their affordability check :(

If I want to fit the 45% ratio thing I need to find an additional £24,000 deposit

If they are the rules, so be it. Why do you think there might be a way around them? It makes sense to have such a rule, as they don't want one of these properties repossessed. If mortgage interest rates go up, or your expenses go up (eg you start a family) you'd really be in trouble.

Have you any other way of borroeing the cash from a relative for example? My niece was £5000 short for a similar deposit and vorrowed it from her Mum

We. Could borrow some but there's no way we could borrow £24,000, especially within the time frame.

The thing that gets me is that we have a mortgage offer so I don't see the problem ... Is very annoying!

Ah, right. So you might have a mortgage offer, but you also have a very sensible warning that you probably won't be able to afford it.

I think you would be well advised to listen to that warning.

Thank you :) we have chosen a different more affordable option!