Staircasing
Buying more of your shared ownership home
Staircasing is the process of buying additional shares in your shared ownership home.
Staircasing
- What is staircasing?
- Buying additional shares
- Costs and fees
- Rent and service charges
- Timescales
- Extending your lease
- Getting started
About staircasing
Staircasing is the process of buying additional shares in your shared ownership home. As you increase your ownership, the amount of rent you pay on the remaining share reduces.
Many customers choose to staircase until they own 100% of their home. This means you benefit from owning a larger share of any future increase in the property's value and move closer to full home ownership.
If you own a house with a standard shared ownership lease, you will usually receive the freehold when you purchase 100% of the property.
Please note:
- Flats remain leasehold, even when you own 100% of the property.
- Houses purchased under a Protected Area lease will also remain leasehold.
- In some rural locations, ownership may be capped at 80% to help preserve affordable housing opportunities for future generations.
Buying additional shares
The cost of buying more shares is based on the current market value of your home.
To determine this, we’ll instruct an independent surveyor to carry out a valuation. Once the valuation has been completed, we'll provide you with an offer based on the current market value.
Valuations are usually valid for three months from the date your home is valued.
We recommend that you purchase as much as you can, as for each transaction you will incur legal charges for the transfer of your ownership. We’re currently offering £300 cash-back to anyone who staircases to 100%.
If you currently own a multiple of 5% one of your purchases will also need to be a multiple of 5% in order to get to 100%. Our Sales team will explain your available options when you begin the process.
Costs and fees
Property valuation
The valuation fee is typically payable by the homeowner. However, we are currently offering free valuations for customers interested in staircasing.
If you do not complete a staircasing transaction within 12 months of the valuation, a new valuation may be required and you will be responsible for the cost.
Legal fees
You will need to appoint a solicitor to act on your behalf and you will be responsible for your own legal costs.
Additional fees may include:
- NCHA legal and administration fees
- Land Registry fees
- Fees associated with purchasing your final share
- Stamp Duty Land Tax (where applicable)
Your solicitor will advise you of any taxes or additional charges that apply.
Estate management charges
If your home is part of a development with a management company, there may be charges that have been paid by NCHA on your behalf. Any outstanding amounts will need to be settled when you complete your final share purchase.
Rent and service charges
As you buy more shares in your home, the rent you pay on the remaining share will reduce.
Once you own 100% of your property, you will no longer pay rent to NCHA.
However, you may still need to pay:
- Service charges
- Estate management charges
- Communal maintenance charges
Any ongoing charges will be clearly explained in your offer letter before you decide whether to proceed.
Timescales
The staircasing process typically takes between one and three months to complete.
We recommend allowing enough time for:
- Property valuation
- Mortgage arrangements (if required)
- Legal work
- Completion of the transaction
As valuations are valid for three months, it is generally advisable to complete the purchase before the valuation expires.
Extending your lease
Properties with 80 years or less remaining on the lease can become more difficult to sell because many mortgage lenders are reluctant to lend on shorter leases.
You can apply to extend your lease at any time, but we recommend considering a lease extension when there are around 85 years remaining.
Once the lease falls below 80 years, the cost of extending it can increase significantly.
Getting started
If you'd like to buy more shares in your shared ownership home, our Sales team can help.
To begin the staircasing process, please contact us in writing and tell us:
- The share your currently own
- The percentage you would like to purchase
- Your contact details.
Email: nchasales@ncha.org.uk
Telephone: 0345 650 1204
We'll guide you through each stage of the process and explain the costs, timescales and next steps.
