Repair Period

10 year repair period

A new 10 year repair period has been introduced by the new Shared Ownership model lease, during which time Shared Owners of new builds will receive support from their landlord to pay for essential repairs. Following this 10 year period, or if buyers staircase to 100% ownership before that time, the purchaser will take on full responsibility for repairs and maintenance.

What are “essential repairs”?

Landlords will be responsible for assessing in advance of works whether repairs claimed are essential and genuine.

External and structural repairs are distinguished from general repairs and maintenance.

External and structural repairs

Shared Ownership landlords will be responsible for carrying out and bearing the cost of essential repairs required to the external fabric of the building and structural repairs to walls, floors, ceiling and stairs inside of the home – but only where the repair is not covered by the building warranty or any other guarantee. You can claim the warranty excess from the landlord – see paragraph ‘What about warranty claims?’.

General internal repairs and maintenance

Shared Owners will remain responsible for internal repairs but will be able to claim up to a maximum of £500 in repairs and maintenance costs each year to support with the repair or replacement of:

  • installations that relate to the supply of water, gas, electricity, sanitation (including basins, sinks, baths and sanitary conveniences, but not fixtures and fittings), pipes and drainage
  • installations for heating the home and heating water

There is no limit on the number of claims that a Shared Owner can make in one year, provided the total does not exceed the annual allowance. Any portion of repair and maintenance costs over and above £500 will be the responsibility of the Shared Owner.

What about warranty claims?

Any work required (internal or external) that is covered under a warranty/guarantee should be claimed through the policy by the policy holder.

The Shared Owner is not required to contribute to the cost of any excess or administration fees payable under the terms of a warranty.

Shared Owners will be expected to check and claim through existing warranties where covered for internal repairs and to inform their landlord immediately if they become aware of an external or structural repair or repair that may be claimed under an insurance policy or warranty.

What if the whole £500 is not claimed in one given year?

A maximum of £500 worth of unused repairs expenditure can be rolled over into a following year. If it is not used in that rollover year, it cannot be rolled over again.