Posted on: 16th Aug, 2009 09:55 am
I heard of a scheme called equity sharing arrangement for people who are unable to afford 100% market price of the property. Can I get some details on the arrangement?
This looks like where you parnet with some one to buy a house and you will share equity with the person who is your partner
Hi pro,
An equity sharing arrangement is a good option if you do not have the required cash to purchase a real estate property. You can look for a partner who is ready to help you with the cash in exchange for a share in the property. The person giving you the cash can be resident or a non-resident of the property. You can then keep making the mortgage and tax payments on time. After some years, if you have saved enough money to purchase a new house, you can sell off the current property, divide the profit among you and your partner and buy a new home in your name.
An equity sharing arrangement is a good option if you do not have the required cash to purchase a real estate property. You can look for a partner who is ready to help you with the cash in exchange for a share in the property. The person giving you the cash can be resident or a non-resident of the property. You can then keep making the mortgage and tax payments on time. After some years, if you have saved enough money to purchase a new house, you can sell off the current property, divide the profit among you and your partner and buy a new home in your name.