Financial scenarios

Scenario A1 — fully self-funded

no loan · no Resonance · no share offer

Group buys the property outright from pooled capital. Main farmhouse, cottages, annex, barn, pasture, woodland — the shape the group is aiming at — funded purely by member equity.

Takeaway: if the group can raise the full target in capital, monthly obligation collapses to running costs only. Average capital per member is —. In practice, pledges can vary wildly (£0 → £250k) as long as the total lands.

Scenario A2 — half equity + half residential loan

50% member equity · 50% residential loan · no Resonance

Same property. Half of the target comes from member capital; the rest is a residential loan at the slider rate and term. This is the "we can't raise it all" case — and it depends on the group actually being able to secure a residential mortgage against a CBS-owned property (which most high-street lenders won't do).

Takeaway: each member averages — in upfront and —/mo out. Slide the rate down to ~5% if the group qualifies for a standard residential mortgage and the monthly cost drops roughly a quarter.

Scenario B — English property with Resonance community slice

~40% equity · ~35% residential loan · Resonance covers the community-use portion (0%, 2y)

Property in England. Roughly a quarter of the total cost is allocated to "community" features (a stone barn we'd convert into a shared workshop + events space, for example) — Resonance funds this slice at 0% over 2 years. Residential dwellings make up the remainder.

Takeaway: Resonance reduces upfront equity needed, but the 2-year repayment hits hard. Year 1-2 is tough; from year 3 monthly costs drop sharply. Requires the group to be earning substantially from community enterprises (workshops, events, lettings) during the Resonance phase — that's what the income projections on the vote cards are there to surface.

Scenario D — community share issue (no bank)

equity + ~30% community shares + Resonance · no residential loan

Full debt-ethical stack: avoid a bank residential loan entirely by raising capital via a community share offer (external ethical investors — friends, LWA network, Ethex). Resonance covers the community slice; member equity covers the remaining gap.

Takeaway: avoids bank debt entirely. Years 1-2 are the hardest part (Resonance dominates) but Y3-10 monthlies are modest. Note: community-share capital typically needs to be redeemable by year 10, either by refinancing or the group buying it out as it becomes affordable.

Scenario E — split deed (tenants in common)

4 households (~8 members) · individual residential mortgages · no CBS, no Resonance

Each household takes freehold title to its own dwelling and a proportional share of the common land and outbuildings. Legally this is a tenancy in common — four separate titles at Land Registry, plus a declaration of trust / co-ownership deed covering the common parts. Each household arranges its own residential mortgage at standard rates.

Takeaway: individual mortgages are typically available at ~5% (drop the slider to 5% to see the realistic monthly cost). Each household owns its own dwelling and builds personal equity. Big trade-offs: no Resonance (not community-owned), no community shares, no CBS asset lock. If one household wants to exit, they sell to a buyer the group approves — practically like selling a house into the group. Harder to bring future members in without re-papering the deed. Co-ownership agreement needs to cover what happens on death, divorce, default, and sale. Loses the "land held in trust" ethical framing that CBS brings.

Scenario F — supporter loanstock (not community shares)

equity + ~30% loanstock + Resonance · no residential loan

Identical shape to Scenario D, but the ~30% is raised as loanstock from supporters (friends, family, sympathetic networks via something like Rootstock) instead of a public community-share offer. Loanstock is a fixed-term, fixed-interest loan: lenders get their money back at face value plus interest; they don't become members, don't vote, don't share in property appreciation.

Scenario G — private limited company

~50% equity + ~50% commercial loan · no Resonance · heavy tax penalties

Members set up a standard Ltd company; the company owns the freehold. Members hold shares proportional to capital contributed, receive dividends when the company makes a surplus, and realise capital gain when they sell their shares. A familiar legal form — but HMRC designed significant deterrents for companies holding UK residential property.