Home ownership improved wellbeing in 83 per cent

A recent report from Co-Ownership, designed to gauge the social impacts of home ownership, has revealed that 83 per cent of those who bought a home in Northern Ireland through the shared ownership model have experienced improved mental wellbeing. The report aligns to growing evidence that home ownership is a foundation for positive health and wellbeing for individuals, couples and families.

With the increase in interest rates compounded by the cost-of-living crisis, it is becoming more difficult for people to achieve an affordable and secure home to give them and their families that critical foundation. Co-Ownership in this context provides an ever more important route and has helped 745 households to purchase their own home through its Co-Own and Co-Own for Over 55s products in the last 12 months.

The organisation’s Social Impact Report 2023 has also uncovered that half of those surveyed would remain in the private rental sector if Co-Ownership was not available in Northern Ireland, and whilst the reasons for this vary, most people (70 per cent) attributed this to affordability and their inability to save a deposit.

Mark Graham, Chief Executive of Co-Ownership, explains that Co-Own, the organisation’s flagship shared ownership product has been specifically designed to help as many people as possible own a home of their own.

He said: “The results of this year’s Social Impact Report show that we remain as relevant to potential homeowners who are looking for an affordable home as we were in 1978 when Co-Ownership started out. It is heartening to report that eight out of every ten surveyed cite improved wellbeing as a result of home ownership showing that when shared ownership models are available and supported, the societal impacts are invaluable, and we are working with all our stakeholders to continue to ensure these impacts are recognised.
It’s particularly motivating to know that we are improving the circumstances of people right across the province because we believe that everyone should have access to a safe, good-quality and affordable home. 35 per cent of those we helped last year were families, whilst the remainder was made up of couples and single people.

“As the main provider of shared ownership in Northern Ireland we continue to be integral in the delivery of affordable housing. In the last financial year, we helped 745 people realise their goal of home ownership through our Co-Own and Co-Own for Over 55s products, during a time of increased financial pressures due to the ongoing cost of living crisis with escalating energy prices, an increase in interest rates and higher levels of inflation continuing to impact consumer confidence. Along with the support of our partners, we look forward to continuing to build on our positive legacy for years to come.”

Those who contributed to the Social Impact Report findings also said that home ownership has “saved them from paying extortionate prices” and “removed the worry of fluctuating rent” making it clear that along with health benefits, home ownership can also provide financial benefits.

Mark continued: “More than 75 per cent of respondents cited feeling more financially secure, showing that our model remains effective. That’s as a result of our ability to keep pace with the challenges presented by the market, for instance, last year the Department for Communities supported us to increase our property value limit to £190,000, helping us to support around 10 per cent of first-time buyers year on year.”

In the last 45 years Co-Ownership has successfully supported over 32,000 people into home ownership and there are currently over 10,000 Co-Ownership homes across Northern Ireland.

Successful Co-Own applicants buy the share of a home they can afford between 50 per cent and 90 per cent through lenders offering Co-Own mortgages. Co-Own for over 55s applicants use the equity from their existing home or savings to fund their share. Co-Ownership covers the cost of the remaining share. Should they wish to, co-owners can choose to increase their share bit-by-bit or all at once until they no longer need Co-Ownership and own all the property.

To access the Social Impact Report click here.