You can buy more shares in your shared ownership property or you can buy it outright as and when you can afford to. This is called 'staircasing'.
The minimum you can buy at any one time is 10 percent. The more shares you own, the less rent you pay. When you own the property outright, you would no longer pay any shared ownership rent. However, you may still have to pay a service charge if you live in a house or flat where there are communal or shared services.
The price you pay for additional shares is based on the open market value of the property at the time. For example, if you own 50 percent of the property, the full market value is £150,000 and you want to buy the remaining 50 percent outright, the cost would be £75,000.
It is important that you check your lease to find out whether there are any restrictions on staircasing before you apply to buy additional shares. You should have a copy of your lease from when you purchased the property. If not, you can get a copy by:
- applying online at HM Land Registry online services or
- requesting a copy from the council, but a fee will be payable.
Staircasing costs
Please explore the costs involved before you decide to staircase. You will have to pay for the cost of:
- a Royal Institute of Chartered Surveyors (RICS) valuation
- legal fees
- an administration fee to the council for processing your staircasing application.
You may also be responsible for the payment of legal fees incurred by the council. Please also check with your solicitor, as there may be additional fees payable under the terms of the lease.
Apply to buy more shared in your shared ownership home
Step 1
First, you must get an independent open market valuation on your property from a qualified surveyor who must be a member of the RICS. An estate agent's valuation or valuation carried out by a bank or building society for mortgage purposes is not acceptable, as it is not classed as an independent valuation. A recommended RICS accredited surveyor:
- Ian S Parr Chartered Surveyors
- 01204 886785
- surveys@iansparr.co.uk
You can appoint a different surveyor if you choose to, providing they are RICS accredited.
Your RICS valuation should be dated within the last three months to apply for staircasing.
Please ensure you tell the surveyor of any substantial improvements made to the property. If these improvements add value to the property, the surveyor may disregard them from the price you pay to staircase, providing you had permission from us to undertake the improvements. Carpets, curtains, and light fittings are not classed as improvements.
Step 2
Complete the online application to staircase. You'll also need to upload a copy of your RICS valuation that is dated within three months.
Step 3
When we confirm that we've received your application, you'll need to appoint a solicitor to act on your behalf in the transaction and inform us of their details.