People who own a portion of their residential property through a Shared Ownership Scheme – be it either a Government backed Help to Buy Shared Ownership scheme or a similar scheme provided by a local housing association – may wish to increase their share of ownership in the property by purchasing additional equity. This is known as “staircasing”.
Most leases of Shared Ownership homes allow a property owner/occupier to buy extra shares after you have made your initial purchase. You can choose to go up another step on the home ownership ladder by buying further shares, or in most cases you can purchase all the remaining shares (but not all; some will only allow you to purchase up to 80% of shares). Staircasing will also have the effect of reducing the rent that is payable on a property.
Shares in the property will be sold at the current market value, disregarding any improvements to your home that your landlord has consented to. As such, an up to date impartial Valuation is required in the form of a Property Valuation Report. As the other equity in the property is owned by a public body, it is a requirement for the Valuation Report to be produced by an independent RICS Registered Valuer. A report from an estate agent or one carried out on behalf of a mortgage lender will not be accepted.
For all of the Valuations we conduct, including those for staircasing of shared ownership properties, follow a thorough process and the resulting Valuation Report is both professional and impartial.
Lea Hough have acted for many applicants wanting to increase their equity share in a property by staircasing. All of our work in this area is conducted by Chartered Surveyors and RICS Registered Valuers and as such, our reports are fully compliant with requirements.
For more information on our services in relation to staircasing or to obtain a quote for a Valuation Report, please get in touch.