Need help ? read popular questions
Finding out your budget:
Your budget in principle is valid for 28 days from issue, and can be renewed by getting in touch with us.
Finding a new home:
Applying to the service (1/3):
You will need to be over 18 and have the right to live in the UK. We will also do an industry-standard check on you using secure and modern technology including:
- Verifying your income and outgoings (using Open Banking)
- Checking for fraud and bankruptcy (using Credit bureaus)
- Reference checks with landlords and employers
No, there are no hidden fees when you buy a home with our partner. They charge an up front survey and valuation fee of £999 when you have an offer accepted on your chosen home.
They also charge a £1,999 product fee before you get your keys and move in.
There is a 1% early exit fee if you buy your home from us before the end of your agreed lease. There’s a 2% early exit fee if you chose to sell the home to another buyer.
Your monthly payments stay the same for the full duration of your lease. No increases.
No. But we do take into account your income and spending behaviour over the past year to make sure you can afford the monthly payments and are not likely to miss any payments. You must have no active IVAs, or can demonstrate your IVA will be settled within next 3 months
We run a soft credit check with a credit referencing agency to ensure suitability.
Applying to the service (2/3):
Up to 25% of your rent is converted towards reducing your future buy-back price. This might be a lower percentage based on your ability to afford the monthly payments.
Ours is a zero deposit solution. If you have savings, you can keep them and keep growing them. When it's time to buy the home from us you can use your savings to increase your deposit.
Yes. Just like when buying a home, you will need to talk to a solicitor to guide you through the legal documents before signing. We will offer a panel of solicitors for you to choose from to help. This will be at your cost.
If applying to jointly with a family member, both of you must live in the home as your main residence. At the moment we don’t offer an option to use a guarantor.
Of course. This product is designed to assist where a mortgage cannot, and is not exclusively for First Time Buyers.
Applying to the service (3/3):
We currently accept up to 2 applicants. Please get in touch if you would like to apply with 3 or more applicants.
If you are married or in a civil partnership you will need to add your partner to the application. This is because you are financially linked, and most mortgage companies will want to do this when it is time to buy. If your partner is not working or receiving an income, they will still need to be on your application.
We accept multiple income sources when determining a budget and your monthly payments, including salary, bonus, commission, benefits and other income sources.
No. As long as you meet the eligibility criteria and our checks on you and the property are good, so are you!
We take your full financial circumstances into account when deciding your offer. Late payments might have an impact depending on how many, how much and what they were for.
Living within the terms of the service (1/2):
You are responsible for wear and tear and day-to-day upkeep. Our partner will be responsible for any insurable costs such as storm damage or burst water pipes.
Your monthly payments are fixed for the duration of the lease.
The lease will be between 3 to 7 years. The longer your lease the more you reduce the price you pay for the home at the end. You can leave your lease at anytime if you find another buyer. You can keep any gain in home value and will need to pay a 1% early exit fee (2% if sold to a third party buyer).
Our partner buys the property for you, and remains the owner until you are ready to buy it from us.
No. Our partner is responsible for buildings insurance until you buy the home, as we are the landlord.
Living within the terms of the service (2/2):
Our partner pays the stamp duty up front when we buy the home. This forms part of your locked-in price. For example, if we buy a home worth £200,000 it might cost us a total of £215,000 to complete the purchase including stamp duty and legal costs. To buy the home from our partner you will need to pay £215,000 minus any converted payments you've already made. You will also need to pay stamp duty to buy the home later. If you are a first-time buyer you will be able to take advantage of any discounts offered at the time.
You can stay in the property for the full duration of your lease as long as you make your monthly payments, like a traditional rental agreement (assured shorthold tenancy).
No. Your converted payment amounts are fixed for the duration of your lease.
At the end of your lease you are free to leave. Nevertheless we want you to get any potential increase in the property value. You can find a buyer for the home at any time during your lease, and keep all the upside (less a 2% fee). You just need to make sure it is sold at a price equal or above the original purchase price including our costs. You also get up to 25% of your rental payments back (minus an early exit fee).
Buying your home, or walking away:
If you choose to buy, the price you pay will be made up of the original purchase price we paid for the home plus our costs (e.g., stamp duty and legal fees). This price is agreed before your lease starts. Each month, up to 25% of your rent payments go towards reducing the eventual price you pay. In other words, your purchase price can go down over time.
The Locked-in price is the price we pay to buy the property including stamp duty and legal fees. If the value of the property goes up, it does not affect the price you pay to buy it from us. The Future Buy-back price is the price you pay to buy the home from our partner. This is calculated by taking your Locked-in price and reducing it by your accumulated converted payments. You can buy the property at any point for Locked-in price minus your accumulated converted payments.
Your future buy-back price will be made up of the locked-in price (the price we paid to buy plus stamp duty and legal fees) and then reduced by your accumulated converted payments. If you choose to buy the home before the lease ends, the buy-back price might be higher as you won't have accumulated as much in converted payments.
Your option to purchase the property remains intact, even if the property decreases in value. Subject to approval, the lease can be extended so you can continue working towards owning your home.
You may be able to extend your lease agreement (up to a combined maximum of 10 years) while you get ready to buy. If you still can't get a mortgage you can find another buyer and walk away with the gains (if the property value has increased).
Other FAQs:
Simple, we make money from your monthly payments. You keep your converted payments and any gain in the property value, if there is one, when it's time to buy it from us.
Our partner’s offering does not fall within the scope of financial services regulation. You should ensure that you understand what this means before you use this service product. The FCA guidance on dealing with non-regulated bodies is that all risks and benefits must be explained. We insist every client has independent legal advice before entering into a contract so you understand the proposition and the risks and benefits associated with it.
Our partner buys your home for you to live in. You don't pay us interest like a mortgage. Instead you pay our partner rent while you get ready to buy. At the end of your lease with our partner you may need a traditional mortgage to buy the home.
There is only one party who owns the home - Our partner. You have an exclusive contractual right to buy the home from our partner at the end of your lease, or anytime before subject to a small fee. Shared ownership means multiple parties own different proportions of a property, and the value is shared proportionately as the price goes up or down.
Your lease is protected in the unlikely event that our partner goes bust. You can continue renting the home until the end of the lease period. If our partner’s financial backers choose to sell the home, you receive your converted rent and any increase in home value. You also get right of first refusal to buy the home at market value.
Our partner is a member of the Property Redress Scheme, and complaints can also be directed to them.
Please read our privacy document for more information.