Equity Share
Home Seller
(and home buyer)
Creative Strategy

An equity share is like a joint venture where an investor joins with a buyer, known
as an occupier, who will be making monthly payments.  The investor provides the
down payment funds or financing and the buyer moves in, takes advantage of home
ownership, and makes the monthly payments.  At some pre-determined time down
the road, the investor and buyer will sell the house and split the equity.  This time
frame is anywhere from 2 or 3-10 years. 
***Here is an article on the the topic of
equity sharing:
http://www.real-estate-online.com/articl41.htm
 
A motivated seller, especially in a "down" or slow-moving market,
might agree to sell on an equity share agreement.  The seller would
become the investor and acquire the opportunity to share in any
future appreciation in the property.


***If you are a homeowner and know someone who is in need of a house, then
PLEASE (if you would like) refer this person to Beneficial Brokers, LLC.  

This is what could happen:  you can inform the prospective home buyer that he, she,
or they can move in, enjoy the reality of home ownership, and take advantage of tax
benefits.  Later on down the road, the equity would be shared between the buyer and
investor (me).  Also, the buyer can refinance and buy out Beneficial Brokers for its
interest in the property. 

Here is a WORD OF CAUTION: 

A real estate investor can take advantage of real estate tax benefits. 
An occupier can take advantage of real estate tax benefits.  BUT
A lender can NOT take advantage of real estate tax benefits. 
A renter can NOT take advantage of real estate tax benefits.

Finally, when the time comes to sell the house, determine the fair market value from
an appraiser.  From the sale proceeds, Beneficial Brokers, LLC would receive a return
of its investment, the occupier would receive any **capital improvement money that
he, she, or they made on the property, and the equity would be split.

**The addition of a permanent structural improvement or the restoration of some aspect of a property
that either will enhance the property's overall value or increase its useful life.
(Source:  http://www.investopedia.com/terms/c/capitalimprovement.asp)
 
Doug Iles
The Beneficial Broker
c/o Beneficial Brokers, LLC
http://www.creativehomesellerstrategies.com
http://www.creativehomesellerstrategies.com/HomeSellerindex.html
http://www.creativehomesellerstrategies.com/Commercialindex.html
http://www.creativehomesellerstrategies.com/HighestBidderSale.html#T
http://www.creativehomesellerstrategies.com/ResidentialIndex.html
26 Gibson Avenue
Mansfield, OH  44907-1316
Business email:  askyourquestion@creativehomesellerstrategies.com
Home email:  diles1@neo.rr.com
Other email:  douglas.iles@huntington.com
TOLL-FREE business phone:  1-877-972-3847 or 1-877-97ADVISE 
Choose Option 1 to leave a message for Doug Iles
Choose Option 2 to request a 24 x 7 fax-on-demand company brochure
Choose Option 3 to request a 24 x 7 fax-on-demand owner financing brochure
Choose Option 4 to request a 24 x 7 fax-on-demand partial purchase brochure
Choose Option 5 to request a 24 x 7 fax-on-demand simultaneous close brochure
Choose Option 100 to listen to a foreclosure hotline recording
Choose Option 200 to learn about the Instant Equity Exchange program

TOLL-FREE business fax:  1-877-972-3847 
Home phone @ 419-775-5349
Cell phone @ 419-545-4446


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