Shared Ownership Valuations Explained

Shared ownership has helped tens of thousands of first-time buyers get onto the London property ladder — including many in Battersea and across Wandsworth Borough. But it comes with a unique set of rules, especially when it comes to valuations. Whether you want to staircase (buy more shares) or sell, you'll need a RICS valuation first. Here's everything you need to know.

What is Shared Ownership?

Shared ownership is a part-buy, part-rent scheme run by housing associations. You buy a share of a property — typically between 25% and 75% — and pay rent on the remainder. The scheme is designed to help people who can't afford to buy outright in high-value areas like London.

Over time, you can increase your share through a process called staircasing. In most schemes, you can staircase up to 100% ownership, at which point you own the property outright.

When Do You Need a Valuation?

A RICS valuation is required in several shared ownership scenarios:

• Staircasing: When buying additional shares, the housing association uses the current market value to calculate the cost of the shares you're purchasing
• Selling your share: Before selling your shared ownership property, a RICS valuation establishes the open market value, which determines the sale price
• Remortgaging: Some lenders require a RICS valuation when remortgaging a shared ownership property
• Lease extensions: If you own a shared ownership leasehold property and need to extend the lease

Staircasing: How It Works

When you staircase, you're buying additional equity in your home from the housing association. The price you pay is based on the current market value of the whole property, calculated by a RICS valuation that the housing association commissions (or requires you to commission). Here's the process:

1. Notify your housing association of your intention to staircase
2. They instruct (or ask you to instruct) a RICS registered valuer
3. The surveyor inspects the property and produces a formal Red Book valuation
4. The housing association uses this valuation to calculate the price of the additional shares
5. You instruct a solicitor to proceed with the transaction

The RICS valuation is typically valid for 3 months. If the transaction takes longer than this, a fresh valuation may be required.

Getting the Right Value: Why It Matters

This is where it gets interesting. Many shared ownership owners assume the valuation is just a formality. It isn't.

The valuation directly determines how much you pay for your additional shares. If the valuation is too high, you're paying more than necessary. If it's too low, the housing association may challenge it.

A qualified RICS Registered Valuer will carry out a thorough, comparable-evidence-based assessment of your property's current market value — not a quick desk-based estimate. This matters.

"Yemi and Olawale came to us wanting to staircase from 40% to 75% ownership in their Fulham shared ownership flat. We valued the property at £385,000 — which was £20,000 below the housing association's own estimate. The housing association challenged our figure but ultimately accepted it after we provided our comparable evidence. Our clients saved £12,000 on their staircase transaction."— Sarah Mitchell, AssocRICS

Selling a Shared Ownership Property

If you want to sell your shared ownership home, your housing association typically has a right of first refusal — known as the nomination period — usually 8 weeks. They can nominate another buyer from their housing register. If they can't find a buyer within the nomination period, you can then sell on the open market.

The asking price is based on the RICS valuation. You and the housing association should agree on the instruction of a RICS valuer — typically one that both parties find acceptable.