Staircasing

• The cost of each additional share is based on the current market value, set by an independent RICS-qualified valuation.
• Your rent goes down as your ownership share goes up.
• You’ll need to pay the costs that come with staircasing, such as RICS valuation fees, legal fees and any mortgage fees.
• Your lease sets out the minimum share you can buy at each stage. For many leases this is 5% or 10%, while some newer leases allow 1% staircasing each year for the first 15 years.
• If your lease allows 1% staircasing, the process is different. Each 1% share is valued using the original property value, adjusted by the House Price Index (HPI), unless you choose to get a RICS valuation instead. The 1% process is also designed to cost less: you don’t need to appoint a solicitor, although you can if you wish.
• Some homes have restrictions. For example, homes in Designated Protected Areas may cap staircasing at 80%. If this applies to your home, it will be set out in your lease.

Once you staircase to 100%, you own your home outright.

• If your home is a house, you may become the freeholder, unless your lease or planning conditions say otherwise.
• If your home is a flat, you’ll hold the full lease and keep paying service charges.
• You’ll no longer pay rent, but service charges and any estate charges will still apply.
• You’ll be responsible for your own buildings insurance, unless your block’s arrangements require the freeholder or landlord to insure the building.