Owning a shared ownership home comes with responsibilities for repairs, maintenance, and improvements, regardless of the share you own. Some costs may be covered by building warranties or by your landlord if your home has an initial repair period.
This guide will help you understand what repairs and costs you are responsible for, how the initial repair period works, and what to do if you need essential repairs.
Who Pays for Repairs and Maintenance?
As a shared ownership homeowner, you must pay for repairs and maintenance, even if you own a small share of the home. However, some costs may be covered in specific cases:
- Building Warranty: New-build homes typically have a 10 to 12-year warranty that covers major structural repairs.
- Initial Repair Period: If your home has an initial repair period, the landlord will cover some repair costs for a set time.
- Service Charge and Reserve Fund: If you live in a flat, the landlord may arrange external repairs, with costs divided among residents.
Before buying, check the key information document provided by your landlord to see if your home has an initial repair period.
Home Improvements, Decoration, and Structural Changes
What You Can Do
- You can decorate, refurbish, and make minor improvements, such as replacing a kitchen or bathroom.
- The landlord is not responsible for home improvements.
When You Need Permission
- Structural changes, such as removing walls or extending the property, may require written permission from your landlord.
- Check with your landlord before starting any major renovations.
Impact on Property Value
- Home improvements can increase or decrease the market value of your home.
- If you buy additional shares of 5% or more, your home’s valuation may be affected.
New-Build Homes
- Developers often recommend not decorating a new-build home in the first year.
- Materials like timber and plaster need time to dry out, which may require redecorating later.
External and Structural Repairs
Building Warranty
- If you buy a new-build home, it usually comes with a 10 to 12-year warranty that covers structural repairs.
- If you buy a shared ownership resale, any remaining warranty period transfers to you.
Flats and External Repairs
- In a flat, the landlord or building owner arranges structural repairs.
- Costs are divided among flat owners if the reserve fund does not cover them.
Cladding Costs
- In England, cladding replacement and safety repairs may be necessary for some buildings.
- You may need to contribute towards these costs.
Understanding the Initial Repair Period
If you bought a shared ownership home in 2021 or later, your lease may include an initial repair period.
What the Initial Repair Period Covers
During this period (usually 10 years), the landlord is responsible for:
- Essential external repairs, such as fixing the roof.
- Structural repairs, including walls, floors, ceilings, and stairs.
- Up to £500 per year for repairs or replacements of:
- Water, gas, or electricity fixtures (e.g., sinks, pipes, baths).
- Heating systems (e.g., boiler, radiators).
What It Does Not Cover
The initial repair period does not cover:
- Installing new fixtures or fittings (e.g., kitchen cabinets, furniture).
- Installing appliances (e.g., ovens, washing machines).
- Repairs already covered by the building warranty.
Claiming Repairs During the Initial Repair Period
How to Request Repairs
- Report the issue to your landlord.
- The landlord will inspect your home and decide if the repair is essential.
- If approved, you must arrange the repairs yourself using a Trustmark-approved tradesperson.
- You can claim up to £500 per year for these repairs.
Rolling Over Unused Repair Allowances
If you do not use your £500 allowance in one year, you can carry it over to the next year (up to one year’s allowance).
Example of How the Repairs Allowance Rolls Over
| Year | Repairs Allowance | Amount Claimed | Rolled Over to Next Year |
|---|---|---|---|
| 1 | £500 | £0 | £500 |
| 2 | £1,000 (£500 + £500) | £750 | £250 |
| 3 | £750 (£500 + £250) | £0 | £500 |
Selling Your Home During the Initial Repair Period
- If you sell your home, the remaining repair allowance transfers to the new owner.
- If the new owner buys 100% of the home, they do not get the repairs allowance.
What If the Landlord Rejects Your Repair Claim?
If your landlord refuses to cover a repair, they must:
- Provide a written explanation within seven days.
- Inform you of your right to challenge the decision.
- Explain how to appeal the decision.
Key Takeaways
- Repairs and maintenance are your responsibility, even if you own a small share.
- Some costs may be covered by a building warranty or initial repair period.
- You can decorate and make improvements, but structural changes may need approval.
- For flats, external repairs are handled by the landlord, with costs shared among residents.
- If your home has an initial repair period, the landlord covers some essential repairs for up to 10 years.
- You can claim up to £500 per year for essential repairs, and unused amounts roll over to the next year.
- If your repair claim is rejected, you have the right to appeal the decision.
FAQ’s
Who is responsible for repairs in shared ownership homes?
As a shared ownership homeowner, you are responsible for most repairs. However, some costs may be covered by a building warranty or an initial repair period if your lease includes one.
What is an initial repair period in shared ownership?
An initial repair period is usually 10 years, during which the landlord covers essential repairs to the external structure and up to £500 per year for certain internal repairs.
Can I decorate or renovate my shared ownership home?
Yes, you can paint, refurbish, and replace features like kitchens and bathrooms. However, structural changes may require permission from your landlord.
What happens if my landlord refuses to cover a repair during the initial repair period?
If your landlord rejects a repair claim, they must provide a written explanation within seven days and inform you of your right to appeal the decision.