Likewise, Katy Eatenton, a mortgage specialist at Lifetime Wealth Management said she has never had any problems with clients using shared ownership schemes.
“They have to be qualified to check affordability, which is understandable, but my clients let them know they’ve paid an upfront non-refundable fee to me and engaged my services so they are not willing to switch advisers. Simple,” she said.
Shared ownership is a more affordable way for first time-buyers to access the property ladder by allowing the purchase of a leasehold property for a lower deposit with a rent paid on the remainder.
Under the scheme, homebuyers pay a mortgage on the share they own and pay rent on the remaining share, meaning only a smaller deposit is required.
Nothing changes
Others in the industry have said conditional selling in general is still widespread across the board, and many are frustrated that it remains largely unchallenged.
“We keep pointing out that conditional selling is rampant in the market with numerous accounts of bad behaviour yet nothing ever happens, no one is punished, and it just carries on,” Lewis Shaw, owner of Riverside Mortgages said.
He added: “Maybe we should all start playing the same game if there are no repercussions? At least that way we level the playing field.”
jane.matthews@ft.com
