How do I staircase up?

You can staircase up, that is increase your share in the equity of the OnStep Home, by purchasing parts of the equity loan from the other crowd lenders on the OnStep secondary marketplace. You can do this from as little as £100 and whenever you wish, provided the crowd lenders are willing to accept the price at which you are willing to buy.

You can participate in the secondary marketplace as a buyer and also as a seller for any equity loans you have purchased in the house. Please note you will not be able to sell your original equity loans in the house in respect of which you have received a reduction in the rent.

The operations of the secondary marketplace are described below:

  • The shared equity mortgage loan will be broken up into £100 loan parts and the loan parts will be funded by multiple OnStep lenders.
  • Each lender can then list their loans for sale on OnStep’s marketplace. They can do so at a price of their choice, which may be more or less than the original price of the loan (£100).
  • You can either choose to purchase such loan parts (at prices listed by existing lenders) or you can make your own offer to purchase at a different price.
  • This secondary marketplace will be operated as a ‘limit order’ system, where buyers and sellers place an order for transaction with a price limit.
  • For sellers, the price limit represents the minimum price at which they are willing to sell and for buyers (in this case you) it represents the maximum price at which they are willing to buy.