Equity Sharing

Is Equity Sharing ever of any advantage to either occupant or investor? Also, is it possible to search this forum for previous topics/subjects? Thank you.

Equity sharing has been around a long time and is an excellent way to provide benefits to both the occupant and the investor. I never do a transaction without it.

I am unfamiliar with equity sharing. On the question of searching you can look up top and see a search button. This can be customized to search certain forums on this site, certain time frames, etc. PM me if you have questions.

That search button was obvious. I don’t know how I missed it. Thanks.

Equity sharing is simply the sharing of future appreciation. This is the practice of buying or managing a house or investment property with a partner. It is co-ownership of real estate.

Here are some matters that need agreement beforehand:

How will title to this property be held?
Does this transaction offer security and protection for all parties?
Who is to be the superior or managing partner?
How long of a term is this investment to last?
What shall happen if one party elects to pull out at some point, or is transferred? Or dies? What about default? How would you go about selling out?
Who will handle the monthly disbursements and book keeping? Who pays what rent? Utilities? Maintenance costs?
What percentage of ownership in this Equity Sharing will each have? How will the eventual profits or losses to be distributed?
How will income tax benefits be shared between you?
How are the front-end costs to be divided?