Staircasing

If you already own a Shared Ownership property then you are entitled to buy additional shares in your property from the Housing Association usually in blocks of 10% or more.  This is known as “staircasing”.

You can “staircase” as often as you want although obviously there are costs involved in staircasing and it may be more economic to purchase in a few large blocks rather than many small blocks.

When you have completed the staircasing procedure the rent you pay on the smaller proportion of the property now owed by the Housing Association will, of course, be reduced proportionately.

It is possible to staircase up to 100% ownership.  When you do staircase up to 100% (this is known as “final staircasing”) the Housing Association’s interest in your property is extinguished and you cease to have to pay rent to them.  You then become the sole owner of the property obviously subject to any mortgage you still have.

If the property that has been staircased is a house then you will become the freehold owner of the property but if the property is a flat then, of course, you will still be a leaseholder under the main lease of your flat even though the Shared Ownership Lease will have been extinguished.

If you are borrowing money on a mortgage to finance the staircasing transaction then we will need to submit your mortgage offer to the Housing Association for approval.