Date post: | 19-Feb-2017 |
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Home Equity SharingCash for a home
Cash from a homeWithout debt
Equity Sharing divides ownership interests in a house between Homeowners & Investors
It solves these challenges:
Homebuyers Want to buy a house.Lack sufficient savings for a down payment. Or don’t want
to put it all into a house.
HomeownersWant to access home equity. Don’t want added debt.
InvestorsWant access to SFR investment.Don’t want to be landlords.
Investors buy an interest in a house
And hold it for appreciation.
Homeowners live in the house.They pay the mortgage, taxes, insurance.
There’s an alignment of interests.
Homebuyers
Investors
The transaction looks like this
And split the appreciation with Investors when you sell.
☐ 2 ☐ 3☐ 5 ☐ 7 ☐ 9+
Years
Or before
Investors find Homebuyers & Homeowners online on our platform
© 2016 EquityClub
Investment criteriaHome
☐ Town☐ Neighborhood☐ Size☐ Price☐ Mortgage amount☐ Percent ownership
Homeowner
☐ Income☐ Occupation☐ Education☐ Assets☐ Financial history☐ Use of funds
Terms are agreed:
equity share portion, investment length and amount
The house is purchased.Title is placed in a trust
Recorded
© 2016 EquityClub
And Overseen by a Trustee
(c) 2016 EquityClub
Homeowners live in the home.
It appreciates in value
(c) 2016 EquityClub
At the end of the term, the appreciated value is determined. It’s refinanced and the appreciation is dividedOr
(c) 2016 EquityClub
The house is sold, the Lender paid, and proceeds divided.