Staircasing Q & A

When you make your move into a Shared Ownership property, you have the benefit of increasing your share in the home known as staircasing. The advantages of staircasing includes by increasing your percentage share of the property overall, your rent would decrease in amount. Once you have staircased to 100%, in some cases, the freehold would then be passed onto yourself.

If you are thinking about staircasing, we have four of our most Frequently Asked Questions about the process that may help you in your decision process for the future.

1.  How long after I have purchased my initial share can I staircase?

There are no limits as to when you can purchase more shares in your property. If you find that you have some extra money that you would like to use towards purchasing more shares, you can do so at any time. It is important to note that your home must be registered at HMLR (His Majesty’s Land Registry) to be able to acquire more shares. Please check the status of this prior to submitting an application to staircase.

2.  Is there a minimum amount of shares I can purchase at a time?

You can staircase and purchase a minimum of 10% shares at any one time and there is no upper percentage limit. For some leases, you will have the opportunity to staircase 1% every year for a maximum of 10 years. For more information on this, please check your lease.

3.  How long is the Staircasing process normally?

From the point of instructing our solicitors after registering your interest to increase your shares, it will normally take around 6-8 weeks. However, sometimes unforeseen delays can extend this timeframe.

4.  How will the new rent be calculated?

Rent will be calculated based on your new share, so the more shares you own, the less rent you pay. For example, if you purchase 10% more shares on top of the 50% shares you currently own giving you 60% shares overall, you will then pay rent on the 40% that we (Heylo Housing) owns.

Staircasing can seem like a daunting task, however, we have a handy Staircasing guide which can be found on our website. It lists more frequently asked questions on both Home Reach and Your Home staircasing.