As a shared owner you may decide to sell your home.
The Nomination period
Your lease requires you to notify Ocean of your intent to sell; once this is received we have the responsibility to advertise your property. This is known as the ‘nomination period’ and during which we typically have 8 weeks (dependent on your lease) to find you a buyer.
The nomination period is a mechanism to help other first time buyers and to honour our agreement with the local authority. It also helps to make sure you are given an efficient and cost effective service. If we successfully find a buyer for your home, you will be charged an administration fee of 1% of the market value of your property. This is competitive to many estate agents and covers the cost of providing a service to you.
Getting the price right
In order to sell your home, you must firstly obtain a full valuation report. This must be carried out by a surveyor who is accredited by the Royal Institute of Chartered Surveyors (RICS) and you are responsible for meeting the cost of this.
Once we have received your valuation report we will let you know the value of your property – any significant improvements you have made to your home will be included in the full market value. From this we will also calculate the value of your share.
Your valuation report will be valid for three months only – a desktop valuation will be needed after this time. It is your responsibility to make sure you have an up-to-date valuation that will allow you to exchange contracts.
We will request that suitable applicants who are interested in your property to contact you directly to arrange a viewing.
After viewing your home, your potential buyer will need to contact us, we will then:
- check that their details are up-to-date
- check their eligibility
- carry out a financial health check to ensure their affordability.
At this stage both parties must also advise us of the name of the solicitor’s you have chose to represent you.
After successfully passing our checks we will write to your buyer confirming their approval along with the following breakdown of costs:
- full market value
- the price they must pay for your share
- the current rent and service charges payable.
We will also provide them with details of the solicitors representing each party during the conveyance. A copy of this letter will be sent to you and your respective solicitors.
With the Solicitors
At this stage both parties will need to formally instruct their solicitor, the sale is then in the solicitors’ hands and you will need to keep in regular contact with them to make sure things are moving forward. We will not have any direct involvement from this point on, but we are happy to help if required.
Once solicitors have been instructed, the buyer’s solicitor will obtain a copy of your lease and raise leasehold enquiries, some of which form the ‘management enquiry pack’.
Your solicitors will be expected to provide response to these enquiries by getting some information from Ocean. It is standard practice for Ocean to charge an administration fee for this service.