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What is Staircasing?

Staircasing is simply the process of buying more shares in your Shared Ownership home. The more shares in your home that you own, the less rent you will pay. It’s also possible to Staircase to owning 100% of your home and stop paying rent entirely.

The value of the shares you are buying will be based on the value of the home at the time of Staircasing.

Tips for Staircasing a Shared Ownership home

To make the Staircasing process as smooth as possible, here are some tips and considerations:

1. Weigh up the pros & cons

Before starting the process, consider why you want to Staircase and assess the benefits and risks.

Pros of Staircasing:

  • Pay less rent – The more shares you own, the less rent you pay.
  • Can benefit from property value increase – If you decide to sell, the greater the portion that you own, the more you will benefit if the value of your home has increased.
  • Full ownership – It is possible to Staircase to full ownership and stop paying rent.

Cons of Staircasing:

  • Pay additional fees – Each time you Staircase there will be various fees. These include legal fees, valuation fees, admin fees, and possibly stamp duty.
  • Potentially higher outgoings – If you are not buying the shares outright, then you may have increased mortgage costs depending on mortgage rates at the time of purchasing.
  • Property value risk – If house prices fall after you buy additional shares, you could end up paying more than the current market value.

2. Know the process

It’s important to familiarise yourself with the process so that you have an idea of what to expect and what you will need to provide.

If all documents are sent and correct, the process can be completed in 3 to 4 months. The main points of the process are:

You can read through the full process on our Staircasing: how it works page.

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3. Have funds for additional fees

In addition to the cost of purchasing the shares in your home, there are other admin and legal fees that you will need to pay. Here is a quick breakdown of what additional fees to expect:

  • Valuation fee – From £216 (we have negotiated competitive fees from our panel of RICS qualified surveyors)
  • Admin fee – £220
  • Legal expenses – From £350. Staircasing involves changes to your lease, which requires a solicitor.
  • Mortgage fees – If you’re re-mortgaging to buy the additional share or to obtain a better interest rate, you may have to pay the lender's valuation and mortgage arrangement fee.
  • Stamp duty – You may have to pay stamp duty depending on if you paid it with the initial purchase. Please discuss this with your solicitor.

4. Review your lease

Before starting the Staircasing process, it’s essential to carefully review your lease.

Some properties may have specific restrictions, such as limits on the minimum shares you can purchase (5% for Peabody homes), or requirements for lender approval.

Understanding these terms will help you avoid unexpected delays or additional costs.

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5. Assess affordability

Finally, make sure that you can afford to Staircase. This means being able to afford the shares that you are buying as well as the additional fees incurred.

As part of the Staircasing process, you will have to speak to one of our Mortgage Advisors who will help you understand your financial situation and whether you are able to comfortably afford more shares in your home.

Example of Staircasing Costs

To give you an idea of what Staircasing can cost, here’s an example based on a typical Shared Ownership home.

Let’s say your property is valued at £300,000, and you currently own a 50% share (£150,000). You decide to Staircase by purchasing an additional 10% share. The 10% share would therefore cost £30,000 (10% of £300,000).

In addition to this purchase price, you’ll need to budget for other costs mentioned above. Altogether, the total cost of Staircasing in this example could be around £31,000–£32,000, depending on your individual circumstances and fees.

Staircasing Case Study

After years of renting in London, Aroma fulfilled her dream of homeownership through Shared Ownership, purchasing a 30% share of a three-bedroom apartment in Queensbury.

Moving back to Birmingham during the pandemic allowed her to save for a deposit, and with Peabody’s support, she stepped onto the property ladder with a smaller initial investment. Two years later, as her circumstances changed, Aroma and her best friend Fatima combined their finances to Staircase to 100% ownership, turning the shared home into their own fully owned property.

For them, Staircasing offered flexibility and financial freedom, and the ability to buy more of their home over time at their own pace.

Frequently asked questions about Staircasing

If you’re using a mortgage to buy more shares, you can use the equity you already hold in your home as your deposit. This means the value of the shares you currently own can help fund the purchase of more shares, reducing the need for extra savings upfront.

Staircasing can be a great long-term financial move. By purchasing more shares, you’ll reduce the amount of rent you pay, and if you eventually reach 100% ownership, you’ll stop paying rent altogether. It can also allow you to benefit more from any increase in your property’s value if you decide to sell.

However, it’s important to weigh the upfront costs—such as legal fees, valuation fees, and potential mortgage costs—against the long-term savings. For many, Staircasing is worth it because it helps build equity and move closer to full homeownership.

You may need to pay stamp duty when Staircasing, depending on how you handled it at the time of your initial purchase.

If you paid stamp duty on the full market value of the property at the start, you won’t need to pay it again when you buy more shares.

However, if you chose to defer stamp duty and only paid it on your initial share, you may owe additional stamp duty once your total ownership reaches 80% or more. Your solicitor will be able to confirm whether stamp duty applies in your situation.

This will depend on your financial situation, the minimum amount you can Staircase is 10% and this can increase by 5%, for example you can purchase additional shares in these increments: 10% 15%, 20%, 25% etc.