– Shelter is one of the most fundamental human needs. The pandemic caused the world to shift to living ‘everything at home’ and shelter became a more important part of its identity. Home is the central point of many people’s lives. It represents where people live, work, shop, and exercise.
Homeowners who have equity might consider tapping it to renovate their space or pay off other debts. Taking on additional debt or adding more payments to your monthly bills may not be the best option for you.
Co-investing is another option if this appeals to you. Co-investments allow homeowners to get a lump sum of money in return for a part in the home’s growth over time. This provides homeowners an alternative option to traditional equity-tapping methods that could lead to increased debt, interest, and monthly payments.
Home equity loans can be expensive and homeowners must repay the original loan amount. Co-investment means that there are no monthly payment, no interest, and no additional debt.
UnisonThe leader in this rapidly growing field is Unison, a San Francisco real estate company. Unison provides homeowners with a cash payment up to 17.5% of the home’s current value. After the homeowner sells their home or after 30 years, Unison pays the owner a cash payment equal to the initial investment, plus (or less) a percentage change in the home’s value.
The cash can be used for anything by homeowners, but Unison suggests something that will last. Considering the changing needs of homeowners due to the pandemic and their ability to pay for college tuition, medical expenses, or home renovations such as a home office or gym for new or returning household members, Unison suggests something long-term. With a co-investment, homeowners can keep both the equity and the gains from any home remodeling that increases the property’s value.
Unison seeks partners who are generally good home-owners for co-investment. This includes those who keep their home as their primary residence, pay their mortgage, property tax and homeowners’ insurance on time, keep Unison updated about changes to the home, such as renovation plans, emergency plans or plans to list the home for sale.
Find out how Unison helps you make the most of homeownership. unison.com.
