Guide To Selling
The information below is a guide to selling a shared ownership property that is shared with the council.
Who can I sell the property to?
The purchaser should be a first-time buyer from the local area, who will live in the property. This applies to all purchasers if there is more than one person. The purchaser isn't allowed to rent out the property.
How much can I sell the property for?
The sale price can be no more than 70% of the value of the property. You must get a valuer to send the council a valuation first. The valuation must include the rebuild cost, the date you bought the property and how much you paid. We will then confirm the maximum sale price.
The sale price must include fixtures and fittings (e.g. central heating boiler). You can include other property in the sale (e.g. sofa, washing machine) and they don't count towards the 70% limit.
The valuer must be independent, local and an associate of the Royal Institute of Chartered Surveyors (RICS). You can find one using the RICS website.
Why is there a limit on the sale price?
This is to make sure the property remains affordable. The council owns the remaining 30% of the property. A trust deed with the buyer is used to detail this.
Do I have to pay the council any money when I sell?
You have to pay the council a contribution towards our costs when the property is sold. This is usually 0.25% of the sale price. If we don't agree with your valuation then we may arrange our own valuation and you will be charged for that cost. The buyer doesn't have to pay anything to the council.
What is involved?
The flow chart below explains the process.
Who can I speak to if I have a question?
You can email Mark James (Development Partnership Manager at Ashford Borough Council) or call 01233 330687.
| No. | Seller | Council | Buyer | |||
|---|---|---|---|---|---|---|
| 1 | Notify the council of the intention to sell and find a conveyancer |
|
Confirms how long it will market the property for on the Help to Buy website | |||
| 2 | Notify the council who will value the property | → | Confirms if the valuer is acceptable | |||
| 3 | Give the council the valuation and fittings and contents form | → | Reviews the valuation and form and confirms the maximum sale price | |||
| 4 | Give the council the current building's insurance policy | → | Reviews the policy and confirms if it is acceptable | |||
| 5 | Find an estate agent and market the property at the maximum sale price | → |
Markets the property on Help to Buy as well for up to three months | |||
| 6 | Negotiates with any potential buyers | ← | Refer any potential buyers from Help to Buy | |||
| 7 | Sale agreed subject to contract | → | Gives the council the current tenancy agreement | |||
| 8 | Proceeds with sale | ← | Confirm buyer is eligible | → | Finds a conveyancer to buy the property | |
| 9 | Tell the buyer the amount the property must be insured for | → | Arranges buildings insurance in that amount and in joint names with the council | |||
| 10 | Give the council the draft contract for sale | → | Confirms if acceptable | |||
| 11 | Send trust deed | → | Confirms if acceptable | |||
| 12 | Gets payment ready | ← | Notify how much the fee is | |||
| 13 | Exchange contracts | → | Insures property and gives copy of the policy to the council | |||
| 14 | Complete sale and pay council the management fee | → | Acknowledges receipt of the fee and trust deed | ← | Complete the purchase and send council the signed trust deed | |
| 15 | Provide confirmation for Land Registry | → | Registers ownership with the Land Registry | |||
