ABOUT RENT INTO EQUITY

Family wealth shouldn’t determine access to a home

Six in ten first-time buyers in the UK rely on the so-called “Bank of Mum and Dad” to unlock the deposit that makes a future possible. But millions don’t have parents who can help. For them, the first rung of the housing ladder is missing. No matter how hard they work, the door stays shut. This is a crisis.

Turning challenge into opportunity

Adopt Us puts the principle of interrelatedness into practice through real projects. The first is The Pack at the Greyhound a former pub and hostel, empty since 2014, now being transformed into ten Rent-into-Equity homes.

Instead of relying on family wealth, support from AdoptUs backers is pooled with residents’ monthly contributions to give them a stake in their home from day one.

Residents aren’t just tenants; they are co-owners of a fair, collective asset. Rent payments no longer disappear into a landlord’s pocket they build equity, shared between residents and supporters, creating security, belonging, and access to the first rung of the housing ladder.

Rent into Equity is an innovative community-led housing model developed by Lemon Leopard to tackle asset inequality and widen access to homeownership. It offers a third option between unaffordable private ownership and insecure renting, designed for people who are typically excluded from the property market including those without family wealth, stable salaried income, or access to mortgage finance.

🔑 Key Principles

• No personal mortgage required
• No deposit needed from residents
• Rent contributes directly to co-ownership over time
• Permanent affordability and community stewardship

🌀 How It Works

1.Asset Purchase via Social Investment 

Lemon Leopard raises initial capital including social bonds like this one to purchase an Asset of Community Value (ACV), such as the Rent into Equity site. The asset is held in perpetuity by a Charitable Community Benefit Society (CCBS).

2. Residents Join as Members

Individuals who cannot typically access homeownership join as residents. They do not take out individual mortgages or provide large deposits. Instead, they pay an affordable monthly rent, which is structured to cover: Mortgage repayments (held by the CCBS) Building maintenance and service costs A contribution toward a shared equity fund.

• Mortgage repayments (held by the CCBS)
• Building maintenance and service costs
• A contribution toward a shared equity fund

 3.Rent Builds Collective Equity

Unlike in private renting, where rent disappears into a landlord’s profit, in Rent into Equity  a portion of each resident’s rent contributes to reducing the mortgage and building shared equity. Over time, this equity is accrued in the name of the co-operative and residents build a stake in the property.

4.Governance and Control

The community not a private landlord co-governs the property. Residents have formal rights in the management of their homes and participate in decision-making processes that shape the future of the space.

5.Exit and Succession

If a resident chooses to leave or passes away within the first 10 years, their accrued equity share is locked in until year 11, meaning they or their estate will not receive any repayment until after the tenth year of the project. This structure ensures that the organisation is not required to return any equity contributions during the crucial first decade, allowing financial stability and prioritising the full repayment of bond holders. After year 10, departing residents or their estates are entitled to receive their equity share calculated based on their years of contribution and capped to prevent speculation. New residents are welcomed from a waiting list and continue the equity journey, ensuring the homes remain permanently affordable, community-owned, and financially resilient.

6.Refinancing for Stability

Once the project is stabilised and rental income is established, the CCBS refinances the asset through a mortgage.