Unison Launches Innovative Equity Sharing Home Loan to Convert Home Equity Into Cash
Unison has launched the innovative Equity Sharing Home Loan, allowing homeowners to access cash at below-market rates without selling assets or increasing debt. This new loan category combines the benefits of home loans and equity sharing agreements, offering interest-only, below-market monthly payments. Global investment firm Carlyle (NASDAQ: CG) has agreed to purchase up to $300 million of these loans.
The product aims to unlock the $32 trillion in U.S. home equity, especially for homeowners reluctant to refinance their low-interest first mortgages. It offers a fixed below-market interest rate for accessing home equity while allowing homeowners to benefit from potential home price appreciation. This versatile solution can be used for home renovations, debt consolidation, or securing financial futures.
Unison ha lanciato l'innovativo Prestito per la Condivisione dell'Equità, che consente ai proprietari di case di accedere a liquidità a tassi inferiori al mercato senza vendere beni o aumentare il debito. Questa nuova categoria di prestito combina i vantaggi dei prestiti ipotecari e degli accordi di condivisione dell'equità, offrendo pagamenti mensili a interesse solo, sotto il mercato. La società di investimenti globale Carlyle (NASDAQ: CG) ha accettato di acquistare fino a 300 milioni di dollari di questi prestiti.
Il prodotto mira a sbloccare i 32 trilioni di dollari di equità sulle case negli Stati Uniti, specialmente per i proprietari di case riluttanti a rifinanziare i loro mutui di primo livello a basso interesse. Offre un tasso di interesse fisso sotto il mercato per accedere all'equità domestica, consentendo nel contempo ai proprietari di beneficiare di un potenziale apprezzamento dei prezzi delle case. Questa soluzione versatile può essere utilizzata per ristrutturazioni domestiche, consolidamento dei debiti o per garantire il futuro finanziario.
Unison ha lanzado el innovador Préstamo de Participación en Capital, que permite a los propietarios acceder a efectivo a tasas por debajo del mercado sin vender activos ni aumentar la deuda. Esta nueva categoría de préstamo combina los beneficios de los préstamos hipotecarios y los acuerdos de participación en capital, ofreciendo pagos mensuales solo de interés, por debajo del mercado. La firma de inversión global Carlyle (NASDAQ: CG) ha acordado comprar hasta 300 millones de dólares de estos préstamos.
El producto tiene como objetivo desbloquear los 32 billones de dólares en capital de viviendas en EE. UU., especialmente para aquellos propietarios que son reacios a refinanciar sus hipotecas de primer nivel a bajo interés. Ofrece una tasa de interés fija por debajo del mercado para acceder al capital de la vivienda, permitiendo a los propietarios beneficiarse de la posible apreciación de los precios de las viviendas. Esta solución versátil puede ser utilizada para renovaciones del hogar, consolidación de deudas o asegurar futuros financieros.
유니즌이 혁신적인 지분 공유 주택 대출을 출시하여 주택 소유자들이 자산을 판매하거나 부채를 늘리지 않고도 시중가 이하의 금리로 현금을 이용할 수 있도록 했습니다. 이 새로운 대출 카테고리는 주택 대출과 지분 공유 계약의 장점을 결합하여 이자만 지불하는 시중가 이하의 월 상환금을 제공합니다. 글로벌 투자 회사인 칼라일 (NASDAQ: CG)은 이 대출의 최대 3억 달러를 구매하기로 합의했습니다.
이 제품은 미국의 32조 달러 주택 자산을 활용하기 위해 만들어졌으며, 특히 낮은 금리의 첫 번째 주택 담보 대출을 재융자하기를 꺼리는 주택 소유자에게 유리합니다. 주택 자산에 접근하기 위한 고정 시중가 이하의 이자율을 제공하면서 주택 소유자들이 주택 가격 상승의 잠재적 이점을 누릴 수 있도록 합니다. 이 다재다능한 솔루션은 주택 개조, 부채 통합, 또는 재정적 미래를 보장하는 데 사용할 수 있습니다.
Unison a lancé le Prêt de Partage de l'Équité innovant, permettant aux propriétaires d'accéder à des liquidités à des taux inférieurs au marché sans vendre d'actifs ni augmenter leur dette. Cette nouvelle catégorie de prêt combine les avantages des prêts immobiliers et des accords de partage d'équité, offrant des paiements mensuels uniquement d'intérêts, inférieurs au marché. La firme d'investissement mondiale Carlyle (NASDAQ: CG) a accepté d'acheter jusqu'à 300 millions de dollars de ces prêts.
Le produit vise à débloquer les 32 trillions de dollars d'équité immobilière aux États-Unis, en particulier pour les propriétaires hésitants à refinancer leurs premières hypothèques à faible intérêt. Il offre un taux d'intérêt fixe en dessous du marché pour accéder à l'équité de leur maison tout en permettant aux propriétaires de bénéficier d'une appréciation potentielle des prix de l'immobilier. Cette solution polyvalente peut être utilisée pour des rénovations domiciliaires, la consolidation de dettes ou pour sécuriser l'avenir financier.
Unison hat das innovative Eigenkapitalbeteiligungsdarlehen eingeführt, das es Hausbesitzern ermöglicht, zu Marktzinsen unterhalb von denen Bargeld zu erhalten, ohne Vermögenswerte zu verkaufen oder Schulden zu erhöhen. Diese neue Darlehenskategorie kombiniert die Vorteile von Hypothekendarlehen und Beteiligungsvereinbarungen und bietet monatliche Zahlungen, die nur Zinsen sind, unter Marktbedingungen. Die globale Investmentgesellschaft Carlyle (NASDAQ: CG) hat zugestimmt, bis zu 300 Millionen Dollar dieser Darlehen zu kaufen.
Das Produkt zielt darauf ab, das 32 Billionen Dollar hohe Eigenkapital in US-Häusern freizusetzen, insbesondere für Hausbesitzer, die zögern, ihre ersten Hypotheken mit niedrigem Zinssatz zu refinanzieren. Es bietet einen festen Zinssatz unter dem Markt, um auf das Eigenkapital des Hauses zuzugreifen, während die Hausbesitzer von der möglichen Wertsteigerung ihrer Immobilien profitieren können. Diese vielseitige Lösung kann für Hausrenovierungen, Schuldenkonsolidierungen oder zum Sichern finanzieller Zukunft genutzt werden.
- Launch of innovative Equity Sharing Home Loan product
- Carlyle (CG) agrees to purchase up to $300 million of equity sharing home loans
- Allows homeowners to access cash at below-market rates without selling assets or increasing debt
- Offers fixed below-market interest rates for accessing home equity
- Potential to tap into $32 trillion U.S. home equity market
- None.
Insights
Unison's new Equity Sharing Home Loan represents a significant innovation in the mortgage industry, potentially disrupting traditional home equity products. This offering addresses a critical market need, allowing homeowners to tap into their $32 trillion in home equity without refinancing existing low-interest mortgages.
The $300 million commitment from Carlyle (NASDAQ: CG) lends credibility to this new product and suggests strong potential for scalability. This investment could drive substantial growth for Unison and create a new asset class for investors seeking exposure to home price appreciation.
However, the success of this product hinges on continued home price appreciation and homeowners' willingness to share future gains. In a stagnant or declining market, the value proposition for both homeowners and investors could be compromised. Regulatory scrutiny and consumer education will be important factors in the product's long-term viability and market adoption.
Unison's Equity Sharing Home Loan taps into a significant market opportunity, addressing the needs of homeowners who are reluctant to refinance their current low-interest mortgages. This product could appeal to a broad demographic, including baby boomers looking to fund retirement and millennials seeking capital for home improvements or debt consolidation.
The offering's below-market interest rates and interest-only payments could be particularly attractive in the current high-interest rate environment. However, consumer education will be critical, as the concept of sharing home appreciation is novel and may be perceived as complex by some homeowners.
If successful, this product could reshape the home equity market, potentially leading to increased competition from traditional lenders and fintech companies. The long-term impact on the housing market and homeownership trends should be closely monitored, as it may influence home buying and selling behaviors.
The Unison Equity Sharing Home Loan introduces novel legal considerations in the mortgage space. Key areas of focus will include contract structuring, consumer protection and regulatory compliance. The product's hybrid nature, combining elements of traditional mortgages and equity sharing agreements, may require careful navigation of existing financial regulations.
Potential legal challenges could arise around disclosure requirements, fair lending practices and the treatment of shared appreciation in various scenarios (e.g., foreclosure, early repayment). Additionally, tax implications for both homeowners and investors will need clear guidelines from relevant authorities.
As this product gains traction, we may see regulatory bodies develop new frameworks specifically for equity sharing home loans. Companies operating in this space should proactively engage with regulators and maintain robust compliance programs to mitigate legal risks and ensure consumer protection.
New Home Loan Category Supported by New Carlyle Investment Offers Interest-Only, Below-Market Monthly Payments to Fund Personal Goals Without Selling Assets or Increasing Debts
Today, the company also announced that global investment firm Carlyle (NASDAQ: CG) has entered into an agreement to purchase up to
The innovative Unison Equity Sharing Home Loan combines the benefits of home loans and home equity sharing agreements into a unique mortgage solution that allows homeowners to manage personal financial goals by converting home equity into cash with low monthly payments. This new financial product also introduces potential home price appreciation to investors in the mortgage asset category.
The Unison Equity Sharing Home Loan offers homeowners a fixed below-market interest rate for accessing a portion of their home equity, while also allowing them to make use of the appreciation potential of their home. Homeowners lucky enough to have a low-interest first mortgage can maintain their favorable rates, and access capital immediately, with minimal impact to monthly cash flow.
"Whether homeowners want to renovate their homes, consolidate high-interest debt, or secure their financial future, Unison's Equity Sharing Home Loan offers a versatile and customizable solution to suit their individual needs and aspirations," said Ryan Downs, President of Unison. "With lower monthly payments, made possible by shared home appreciation, homeowners can confidently pursue their financial goals with peace of mind."
About the Unison Equity Sharing Home Loan
- Lower Monthly Payments: An interest-only loan, part of the cost is offset by sharing a portion of the home's future appreciation, as well as partially-deferred interest.
- Eligibility Criteria: We welcome homeowners with a FICO score of 680 and above, a maximum combined loan to value ratio of
70% , and a debt-to-income ratio not exceeding40% . - Early Repayment, No Penalty: Borrowers can repay the loan early without penalty, which includes paying back the original loan amount, any deferred interest, and the agreed-upon share of appreciation.
- Better Credit, Better Terms: Homeowners with higher FICO scores may receive more favorable loan terms.
- Remodeling Benefit: Homeowners who make improvements--beyond that of regular maintenance--are eligible, after 3 years, to request a credit for the added value, which reduces the shared appreciation component.
Unison vs. Other Loan Offers
Through the Unison Equity Sharing Home Loan, Unison designed an innovative and new financing option offering homeowners lower rates and monthly payments than provided by traditional equity financing products. Its unique structure combines a below-market rate home loan and a share of the property value future appreciation.
Availability
The Unison Equity Sharing Home Loan is available today. Find out if you are eligible and obtain a free estimate with no obligation by visiting www.unison.com/homeloan.
About Unison:
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* Data gathered on July 1, 2024
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SOURCE Unison
FAQ
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