Monthly rent will always be at least 5% of the purchase price to ensure it's a sound investment. For instance, a £300k home would need a minimum rent of £1250 per month (5% of £300k divided by 12).

However, to maintain fairness to you, we set the rent according to the local market rental value, making sure it aligns with the rental rates for similar homes in the area.

Remember, you only pay rent for the portion of the home you don’t own.

Important: In some areas market rents are lower than 5%. This can make it harder for us to buy in these locations. We don’t think it’s fair to charge you more than market rent.

Rent increases annually by the rate of inflation (or Retail Price Index - RPI). The Retail Price Index can be viewed here.

But remember that whenever you buy more of your home, your rent will go down accordingly.

Imagine the rent in your first year is £1000 per month. If at the end of the first year inflation is 3% then the rent in your second year would be £1030 per month.

If, at the end of the second year inflation is 2% then the rent in your third year would be £1050.60 per month.

On average, inflation sits around 3%, though it can be higher or lower in some years. In the event of negative inflation, where inflation falls below 0%, your rent will remain the same.

Remember, you only pay rent for the portion of the home you don’t own.

Yes, if you feel like your rent has become higher than the rent for similar homes in the same area, ask us for a rent review. You can do this every 5th year if you like. We'll review your rent and let you know if it needs to be adjusted. Be aware however, the rent could go up as well as down.

Your rent covers your right to live in the home, and you’ll only pay rent on the portion you haven’t bought yet. It won’t build up any extra equity for you. But here’s the good part, you can increase your ownership at any time by making extra payments, whether it's £50 or a larger lump sum.

The more of the home you own, the less rent you pay. So if you own 5% of the home and the rent is £1,000 per month, you’ll only pay 95%, that’s £950 per month. And every time you buy more of the home, you rent less.

Whenever anyone buys a home there are always associated buying costs.

These costs include:

With Wayhome, you only pay a proportion of these costs based on how much of the home you own. For example, if you start with a 5% deposit, you’ll only pay 5% of these costs, while the funding partners cover the rest.

When you decide to buy more of your home, you’ll repay a share of these costs as well. So, if you purchase an additional 5%, you’ll pay back 5% of the acquisition costs.

We don’t charge any fees when you buy more of your home.

Stamp Duty is a tax paid to the government by the buyer every time a property is bought. It’s worked out based on the home’s value. Usually, first-time buyers pay less or no Stamp Duty. With Wayhome, it’s different because you’re buying the home in partnership with our funding partners and this means that the Stamp Duty is charged at the higher rate.

But you only pay Stamp Duty in proportion to your ownership. For example, if you start with 5% ownership, you only pay 5% of the Stamp Duty.

Home prices are divided into bands with each band being charged at a different rate:

As an example, on a £350,000 home, the total Stamp Duty due to the government would be £17,500. If you own 5% of the home, you only pay 5% of the Stamp Duty, which in this example is £875.

Typically, you’ll need to pay for:

In this example, these estimated costs add up to £2,500. So, if you owned 5%, you'd only pay £125.

You can staircase with as little as £50 at a time, and up to a maximum of 5% of the total value of the home per year. The price you pay when you staircase is based on the current value of the home. The home is revalued every quarter so you'll always have a current valuation to work from.

Each time you make a staircasing payment, you’ll pay back a share of the original buying costs. For example, if you buy another 1% of your home, you’ll repay 1% of those initial costs.

Staircasing is flexible, so you can make payments as often as you want, whether it’s small amounts regularly or larger lump sums when it suits you.

We don’t charge any fees when you staircase.

The price you pay when you staircase is based on the current value of the home.

Every home has both quarterly digital valuation and an annual in-person valuation conducted by a RICS Chartered Surveyor. So when you buy more, you’ll always have a current valuation to work from.

If your home’s value goes up, the value of your share increases too. If the value goes down, you'll be able to buy more of your home at a lower price.

Every time you make a staircasing payment you’ll pay back a proportion of the initial acquisitions costs. So, if you’re buying another 1% of your home, you’ll pay back 1% of these costs.

For example, if the initial acquisition costs were £20,000 and you’re buying another 1% of the home you would repay £200 towards these costs.

As your ownership increases, your monthly rent decreases accordingly.

With Wayhome, you can gradually increase your ownership in the home up to a maximum of 40%.

This limit is due to tax liabilities that you’d otherwise be responsible for over this level.

If you reach the 40% limit you have several options available to you.

The equity you build while living in the home is yours, no matter which option you choose.

You don’t need to wait until you reach 40% ownership to buy us out or sell the home.

No, you can buy the whole home from us whenever you're ready.

You can buy us out at any stage of your ownership journey, as long as your finances allow it. There’s no need to wait until you reach 40% ownership. Alternatively, you can continue to part-own and part-rent for as long as you need.

If you're looking to buy us out, you have a couple of options:

Each home comes with an Early Buyout Period of either 5 or 10 years.

You can buy the home from us whenever you choose, as long as:

Every home comes with an Early Buyout Period of either 5 or 10 years.

If you decide to buy us out before this period ends, you'll need to repay the remaining upfront buying costs, such as Stamp Duty, property survey fees, and legal costs. This ensures the financial arrangement is beneficial for our funding partners. The duration of the period depends on your financial situation and the specific home you're looking to purchase, including its final price.

Once the Early Buyout Period is over, you won’t need to repay these costs when you buy us out.

With Wayhome, your property is purchased through a Limited Liability Partnership (LLP) created between you and our funding partners for co-ownership. This partnership's name appears on all records related to the property.

When you decide to buy us out, all legal records associated with the property will be transferred from the LLP to your name. This process is considered a new property transaction by the Land Registry, meaning you'll need to pay Stamp Duty again when you buy out the home. However, this time, you will only pay the standard rates.

Since you’re initiating the end of the partnership, you'll need to cover the property valuation, which typically costs around £350.

If the decision is to sell the home with you, you'll share all associated costs based on your ownership percentage. This includes expenses like estate agent fees and legal costs.

In either scenario, you'll need to continue living in the house and pay rent until either your share is purchased or the home is sold.

Limited Liability Partnership Agreement

The LLP agreement outlines your rights, obligations, roles and responsibilities as a part owner of the property.

Assured Shorthold Tenancy Agreement

You'll also sign a Tenancy Agreement, detailing your rights as a tenant. The Partnership Agreement formalises your ownership in the LLP, while the Assured Shorthold Tenancy confirms your right to live in the home.

When you purchase a home through Wayhome, both you and our funding partners share ownership in a Limited Liability Partnership (LLP) that buys the property. For instance, if you buy 5% of the home, you own 5% of the LLP.

The LLP, of which you are a member, is listed on the Title Deeds. While you hold a share in the LLP, you are the only member entitled to live in the home. You have full legal and beneficial ownership of the portion you buy, so if the boiler breaks and you own 5% of the home, you’re only responsible for 5% of the repair costs.

Similarly, if you and the funding partners decide to sell the home, you would receive 5% of the sales proceeds based on your ownership stake.

And don’t worry, this arrangement doesn’t limit your freedom to personalise your space. You can paint 100% of the walls and plant trees throughout your garden!

As you buy more of your home, you increase your share in the LLP and the property itself. You can do this whenever you like, starting from as little as £50. Plus, every time you buy more of the home, you’ll pay less rent since you own a larger share.

A Limited Liability Partnership (LLP) is a business structure that formalises a partnership agreement, limiting each partner's liabilities to their investment in the business. Every LLP must be registered at Companies House.

LLPs offer several benefits:

Each LLP consists of three members:

The LLP name will be on the deed to the property.

As a Residential Member of the LLP, you won’t receive any direct income from the partnership, which means you're unlikely to incur any additional personal tax liability. However, you'll still need to register for and submit an annual self-assessment tax return to HMRC to inform them of your membership in the LLP.

Day-to-Day Maintenance and Wear and Tear

As the resident, you'll be responsible for the costs of routine maintenance and repairs.

This includes (but is not limited to):

Understanding the importance of maintenance

Keep in mind that your home may not be perfect when you move in, and all homes require some upkeep over time. Recognising wear and tear allows you to address minor issues before they escalate. Regular maintenance keeps your home in good condition, prevents costly repairs, and helps maintain the property's value.

Exceptional Maintenance

These are significant repairs where costs are split between you and the funding partners (LLP). For example if the boiler breaks and can’t be repaired under the Home Emergency Plan and needs to be replaced; or the roof needs repairing, these costs would be split.

However, there are some circumstances where costs won’t be shared:de:

Understanding the importance of maintenance

It’s important to note that your home may not be perfect upon move-in, and all homes require some upkeep over time. Recognising wear and tear enables you to address minor issues before they escalate. Regular maintenance keeps your home in good condition, preventing costly repairs and helping maintain its value.

You'll contribute to insurance through a monthly Home Support Cost of £4.50 added to your rent. This fee covers your share of the Home Emergency Plan and Buildings Insurance.

Home Emergency Plan

The Home Emergency Plan covers urgent issues that need immediate attention to keep your home safe and liveable. This includes but is not limited to:

Buildings Insurance

Buildings Insurance covers major incidents and disasters that affect the structure of the property. This includes but is not limited to: