Haus
in Shared Equity Agreements from Haus Services Inc.
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| Community Rating |
Rating not yet determined |
| Shared Equity Use Case | Equity Cash-Out |
| Investment Range $ | N/A |
| Investment Range % | 0% - 80% |
Haus Review
Haus is offered by Haus Services Inc., a financial services company founded in 2015 and based in San Francisco, CA. Haus is available in 3 states across the USA.
- Discounted monthly payments. Instead of mortgage payments, you make a discounted monthly payment to Haus.
- 10-year term. Once the contract term ends you can return the remaining investment, sell your home, refinance, or partner with Haus Services Inc. for another term.
- Equity cash-out. Haus allows homeowners to access up to 80% of the property's value without taking on debt. However, it cannot be used toward the down payment of the property that secures it.
- Only available in select states. Haus is only available in 3 states.
- Fair credit accepted. If you have a credit score of 650 or higher, you may qualify for a shared equity agreement with Haus.
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How does the Haus product work?
A shared equity agreement (also called a shared appreciation agreement or shared equity contract) is essentially a way to sell a small fraction of the equity in your home to an investment company.
As a home equity loan alternative, the Haus product allows you to tap into the equity in your home without the monthly payments that come from a traditional home equity loan or line of credit. This product primarily targets the home-equity-rich who are in need of cash for reasons such as a home improvement project or to eliminate debt.
The transaction is secured like a loan but you won't be paying Haus Services Inc. a monthly loan payment with interest. Instead, if your home goes up in value, Haus Services Inc. share in the gain; if it goes down, they share in the loss.
How much will Haus Services Inc. invest into a shared equity agreement?
The Haus program offers equity investments that range from 0% up to 80% of a property's market value. As you might expect, Haus Services Inc. has a cap on the amount of funding they will invest in a single home.
| Investment Term | Amount |
|---|---|
| Equity Investment Range | 0% - 80% |
| Maximum Debt-to-Income Ratio | 45% |
What are the costs associated with Haus?
Unlike loans, the costs associated with shared equity investments are not based on an interest rate. There are no monthly payments or accrued interest. Instead, Haus Services Inc. shares in the change in value of your property. If your property value goes up, Haus Services Inc. gets a share. If the value drops, Haus Services Inc. shares in the losses. They only get their money back when you sell your home – and they typically only make a profit if you also make a profit.
| Description | |
|---|---|
| Closing Costs ($) | $2,000 |
What are the terms for a shared equity investment via Haus Services Inc.?
You can use the funds provided by Haus for up to 10 years. After 10 years, you will need to either return the investment, sell, refinance, or try to partner with Haus Services Inc. for another term. Once the contract term ends you can return the remaining investment, sell, refinance, or partner with Haus Services Inc. for another term.
To buy Haus Services Inc. out, you would need to pay back their original investment plus or minus their share of your home’s change in value.
How long does it take to close a deal with Haus Services Inc.?
Haus does not disclose how long it typically takes to approve and fund a shared equity agreement.
What types of property does Haus Services Inc. consider?
Shared equity investors often have restrictions on the type of properties they will invest in. Haus will consider shared equity agreements secured by the following property types:
- Primary home
Message From Haus Services Inc.
Availability
- California
- Oregon
- Washington
Haus Community Reviews
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