Selling shared ownership property


Registered User
Hi all,

I was hoping to sell my shared ownership apartment which I purchased under the affordable housing scheme in 2005.
Purchase price - 200k
Market value - 275k

The apartment is currently worth around 210k. I contacted the Council and someone in the affordable section told me that if I sold for that I'd have to pay them the outstanding mortgage of approx €120k plus clawback of €58k.

My understanding was actually that since the apartment has fallen in value from €275k to say €210k that I'd owe €120k plus any profit over €200,000. Eg, if it sold for 210k I'd owe them €120k outstanding mortgage plus €10k.

Am I incorrect? They are double checking but I don't know when I'll hear back. I am worried that even though I've 80k equity I'll effectively lose more than half of it!

Thanks all.

Brendan Burgess

I don't think that the Shared Ownership bit is relevant, is it?

It's just the Affordable Housing discount which is a factor.

I suspect it's a question of terminology.

What percentage did you buy? You say you paid €200k. How much was your loan?



Registered User
I think they are basing the amount of the percentage discount you got off the purchase to the sale value, so you paid 200 for property worth 275, so 75/275 of the proceeds they seem to be claim is repayable, as selling within the time period. From previous posts in some cases there was nothing to state this repayment if the sale proceeds were less that original purchase price, but was obviously to ensure the seller didn't gain if the price rose given that you didn't pay full market value.

Calculating using the above 75/275 * 210 = 57k so think that's where the 58 repayment is coming from.

You need to check your documentation as could vary depending which Local Authority you purchased from.