The awareness of shared ownership must be improved to encourage more mortgage lenders to enter the market, a report by Aster Group.
The report makes a series of recommendations to boost shared ownership, including proposals for the government to raise its profile in a similar way to Help to Buy.
Kelly McCabe, managing director of The Mortgage People, said: “It’s time for the government to promote shared ownership in the same way as Help to Buy – fully and wholeheartedly.
“Positioning it as an option suitable for the mass market, rather than as an option purely for social housing tenants, would hugely stimulate demand for the deals.”
This comes as a study by YouGov showed less than half (47%) of adults know that banks and building societies currently offer shared ownership mortgages, whilst 8 out of 10 people believe the UK housing market is now unaffordable for first time buyers.
Amy Nettleton, assistant director – sales and marketing at Aster, added: “Our proposals would enhance the shared ownership product and help drive demand for it across the country, not just in big cities.
“This is important in pushing housebuilders to develop more shared ownership homes, as well as encouraging more banks and building societies to provide mortgages that support people in accessing it.”
There are 200,000 shared ownership homes in the UK.