New Supply Shared Equity (NSSE)

NSSE is currently available at the following developments:

Govan - Gateway
Govan - Park Court

What is NSSE?

NSSE stands for New Supply Shared Equity, which is a Government run shared equity scheme. Please note that there are different types of NSSE and the information noted below relates to standard New Supply Shared Equity and not the new 'NSSE with Developers Scheme'. When you buy a home on selected developments approved for the standard NSSE scheme, the Scottish Government shares the cost of purchasing the property with you. So rather than you having to fund the whole cost of your home, up to 40% of the purchase price can be funded for you. Under the terms of the scheme you own 100% of the property from the outset, whilst only having an initial outlay of 60-80%. The outstanding balance funded by the Government is provided by way of aninterest-free loan for an agreed period.

How does it work?

Housing Associations are registered social landlords and they receive government grants which go towards the cost of the house you buy. So, if you can afford a mortgage that meets, say 75% of the cost, the remaining 25% is provided for you. You will always own the whole property no matter what changes there are in its future value, either up or down.

How do I find out if I am eligible?

NSSE is designed for people on low incomes, so we have to assess whether you qualify. The amount you contribute to your share of the house cost must be the maximum mortgage that you can afford plus any other personal contributions you can make. When you apply you will have to state all your sources of finance - which will include things like single person's or couples' gross earnings and savings, together with other income such as sickness or welfare benefits, bank interest, superannuation earnings and so on.

How much of a stake can I take?

Your stake will normally be between 60% and 80%. The maximum stake you can start with is 80%, but in most cases you will be able to increase that over time to 100%. The scheme does not allow you to reduce your percentage.

What should I know about the property?

Homes available under the scheme are a mix of sizes designed for a range of housing needs. It is important to note that your new home must be your sole residence. You will be able to buy a home that is two bed spaces more than the number of people in your household; so a couple could buy a house with two double bedrooms, or a double and two single bedrooms. Like any outright owner of a property, you will be responsible for all of your home's running costs, such as maintenance, insurance, cost of repairs (including common or shared maintenance or service charges where they apply) and Council Tax.

What happens if I want to move home?

If you want to move and sell your home, you will get your share of the selling price, ie 75% stake = 75% of the selling price. The Housing Association would receive the remaining 25% which is then put directly towards providing more housing.

What else do I need to know?

The housing association can provide more information on your legal requirements, but we strongly recommend that you take independent financial and legal advice before going ahead with your house purchase. They can also provide more detailed information about their role as registered social landlords and the terms and conditions that apply.