Are you considering buying more shares in your property?
Radian’s experienced Post Sales team are on hand to help you through the process!
Your Shared Ownership Lease gives you the option of buying more shares in your home, whenever you feel the time is right to do so. This is also known as ‘staircasing’.
How do I buy more shares?
You will need a current market valuation to work out how much your property is worth and how much more shares will cost you.
We have a panel of suggested valuers, but you can use your own property valuer as long as they are RICS (Royal Institute of Chartered Surveyors) registered.
If you’d like an application form, please call us on 0800 145 6663. You’ll need to complete this and include what size share you wish to buy, and send us a copy of the valuation report. Please note, we will also require certified ID from all applicants before we can proceed with the transaction.
We will then process the application form and confirm the figures in writing to you.
Once you have confirmed you are happy with the figures, our solicitors will be instructed and the buying more shares process begins.
What shares can I purchase?
This depends on your Lease. Usually you can buy as little 10% at a time, or you can purchase the remaining shares in one go. In most cases, you can eventually own the property 100%.
Restrictions occasionally occur if you live in a rural location. If you are unsure, please check with us first.
Will I need a solicitor?
Yes, you will need a solicitor to act on your behalf to buy more shares in the property. This is in order for all the legal documentation to be completed.
We have a panel of solicitors who are familiar with Shared Ownership and recommended by our customers. But again, you can find your own solicitor if you wish to do so.
How much does it cost?
Other than the cost of the new share you wish the buy, you will need to also consider:
- Radian’s fee: £180 (inc VAT) payable on completion of staircasing
- Valuation fee
- Solicitors fee
- Mortgage related fees – if you are re-mortgaging to buy more shares.
If you would like financial advice, Radian also have a panel of Independent Financial Advisors who you can speak to.
Future charges ?
If you buy more shares to own 100% and do not currently pay a service charge, then you will no longer have to pay rent or receive contact from Radian.
If you do currently pay a service charge and buy more shares to own 100%, then you will still need to pay a service charge and have contact with Radian.
If you buy more shares but do not own 100%, your rent will be recalculated based on the new shares you own. Your service charges (if applicable) will remain the same regardless of what share you own.
What happens if I have made improvements to my property?
As long as you have Radian’s written permission to carry out these improvements, then your valuation must show two figures.
- The improved value – which considers the increase in value with the improvements.
- The unimproved value – which considers the market value if the improvements had not been carried out.
The amount for buying more shares is then based on the unimproved value.