Wayhome

Wayhome operates on a "Gradual Homeownership" model, a part-buy, part-rent system that functions as an alternative to conventional mortgages. The company serves aspiring homeowners with a minimum household income of £24,000 who are struggling to get on the property ladder. This model allows customers to purchase a home with as little as a 5% deposit, while Wayhome's funding partners co-invest to cover the remaining portion. The customer then pays rent on the share of the property they do not yet own. A key feature is the ability for customers to increase their ownership stake, or "staircase," in increments at any time, which proportionally reduces their monthly rent payments. Customers can eventually purchase up to 40% of the home through this gradual process; to gain full ownership, they must buy out the funding partners' entire remaining share in a single transaction.

The company's revenue is generated not from its home-buying customers, but from its institutional funding partners, which include pension funds and other large investors. Wayhome charges these partners a fee upon the initial property purchase and an ongoing annual management fee. This business model aligns with the needs of investors seeking exposure to the residential property market. The firm has secured significant financial backing, including an £8 million Series A funding round in April 2023 led by investors such as Allianz X and Augmentum Fintech. This capital is intended to support the company's growth, including expanding partnerships with mortgage brokers and lenders, and doubling the annual rate of property acquisitions.