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Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

With rates so low and financing relatively easy to get, this is not something you will see used now. Back in the 80's I remember it was used on a few occasions when a borrower was not strong and needed assistance credit-wise and with downpayment.

Apr 16, 2017 05:54 PM
Rainmaker
1,707,423
Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

Never heard of it and will not get into it.

Apr 16, 2017 05:52 PM
Ambassador
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Bob Crane
Woodland Management Service / Woodland Real Estate, EXP - Stevens Point, WI
Forestland Experts! 715-204-9671

Not that extreme for commercial investments where you want your investors to have an incentive in your success.

I have used them in the early days.

Apr 16, 2017 07:05 PM
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Fred Griffin Florida Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

 IDK

Apr 16, 2017 06:30 PM
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Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

I think that's a question for one of our mortgage experts - John Meussner , Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi  or George Souto for starters. Sounds pretty risky to me

Apr 16, 2017 06:28 PM
Rainmaker
555,004
Jason E. Gordon
AmeriFirst Financial Inc, San Diego, CA - San Diego, CA
Sr Loan Officer, CMA, CMPS, CDLP, CDRE, RCSD, CDPE

These programs are typically offered in exchange for down payment assistance (whether by grants or silent junior liens). In essence, the entity providing the assistance (could be city, county, state, or even the Borrower's employer) would specify a shared ownership in the appreciation of the property moving forward.  For example, the home is purchased for $400K.  Years later, the homeowner sells the property for $500K (thus appreciating by $100K).  At the close of escrow, the homeowner would get $50K of the property appreciation while the entity providing the down payment assistance would get the other $50K. Thank you for bringing me into this conversation Thomas J. Nelson, Realtor, CRS 

 

Apr 17, 2017 09:25 AM
Rainmaker
4,056,543
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

Ask a lender. Have never come across one of those in 25 years.

Apr 17, 2017 04:00 AM
Rainmaker
1,380,623
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

Haven't even heard of these.  Check with a lender.

Apr 16, 2017 10:07 PM
Rainmaker
144,616
Julie Larson Realtor® Sarasota FL 941-882-0322
PalmerHouse Properties Florida - 941-882-0322 | Serving Sarasota, Manatee & Charlotte Counties - Sarasota, FL
When you're thinking of moving...ThinkSuncoast.com

I've not heard of this product before.

Apr 16, 2017 08:37 PM
Ambassador
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Paul S. Henderson, REALTOR®, CRS
Fathom Realty Washington LLC - Tacoma, WA
South Puget Sound Washington Agent/Broker!

Not familiar with this financial product....

Apr 16, 2017 08:32 PM
Rainmaker
5,527,174
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Debbie Reynolds has the answer for you.

Apr 16, 2017 07:33 PM
Rainmaker
1,231,599
Mary Yonkers
Alan Kells School of Real Estate/Howard Hanna Real Estate - Erie, PA
Erie/PA Real Estate Instructor

Avoid like the plague.

Apr 16, 2017 06:57 PM
Rainmaker
2,634,337
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

When two or more go in to own....there you go

Apr 16, 2017 06:52 PM
Rainmaker
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John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

An interesting question.

Apr 16, 2017 06:27 PM
Rainmaker
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Roy Kelley
Realty Group Referrals - Gaithersburg, MD

Rarely.

Apr 16, 2017 06:01 PM
Ambassador
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Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate

I don't know it by that term "shared appreciation".  I believe you are referring to what I know as a equity share - when someone invests with a down-payment and they own an undivided X% equity in the property.  I did that many years ago to help out a friend.  

Apr 17, 2017 09:14 AM
Rainmaker
1,456,827
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Shared appreciation is used in business sales where the seller will share and insure the buyer's success.

Apr 17, 2017 06:16 AM
Rainmaker
1,871,405
Anthony Acosta - ALLATLANTACONDOS.COM
Harry Norman, REALTORS® - Atlanta, GA
Associate Broker

Great question for a lender...

Apr 17, 2017 05:11 AM
Ambassador
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Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

Trying to learn from other answers - thanks for asking.

Apr 16, 2017 11:38 PM
Rainmaker
1,214,087
Thomas J. Nelson, REALTOR ® e-Pro CRS RCS-D Vets
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

Ask Jason E. Gordon 

Apr 16, 2017 09:30 PM
Ambassador
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Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
The right Charlotte REALTOR!

I've never seen it done. Sorry, no help!

Apr 16, 2017 08:12 PM
Rainer
353,510
Jim Cheney
Saint Francis Property Santa Rosa, CA - Santa Rosa, CA
Rincon Valley Realtor 707.494.1055

Not aware of the term.  What I found on Wikpedia, it did not seem like a good idea.

Apr 16, 2017 07:55 PM
Rainmaker
1,044,339
Dave Martin (703) 585-4687
Fairfax Realty - Fairfax, VA
Making Realty Dreams a Reality #WeWillGetYouHome

Not that extreme for commercial investments where you want your investors to have an incentive in your success.

Mar 26, 2018 05:23 PM
Rainmaker
3,985,837
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

Never heard of that term

Apr 17, 2017 05:23 PM
Ambassador
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John Meussner
Mortgages in AZ, CA, CO, DE, FL, GA, MD, MT, NC, NJ, NV, OK, OR, PA, SC, TN, TX, UT, VA, WV - Walnut Creek, CA
#MortgageMadeEasy Walnut Creek, CA 484-680-4852

DPA, which is usually a part of a shared appreciation agreement, is pretty regulated with most programs today.  I've never seen this type of arrangement in practice.

Apr 17, 2017 11:39 AM
Rainer
352,776
Teri Pacitto
Compass - Westlake Village, CA
Real Estate, Your Style...Your Home...My Specialty

That's a new one for me...never heard of it. 

Apr 17, 2017 07:02 AM
Ambassador
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Harry F. D'Elia III
RentVest - Phoenix, AZ
Investor , Mentor, GRI, Radio, CIPS, REOs, ABR

good read

Apr 17, 2017 06:45 AM
Rainmaker
4,159,333
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Not in this market, period. In a high interest rate environment, a buyer with very little funds may have to consider it!

Apr 17, 2017 06:33 AM
Rainmaker
2,020,150
Michael J. Perry
KW Elite - Lancaster, PA
Lancaster, PA Relo Specialist

When an Investor is helping to Fund the Project

Apr 17, 2017 06:27 AM
Rainmaker
1,635,642
Sandy Padula and Norm Padula, JD, GRI
HomeSmart Realty West & Lend Smart Mortgage, Llc. - Carlsbad, CA
Presence, Persistence & Perseverance

Read Chapter 11, Financing Options, Current and Obsolete

Apr 17, 2017 06:07 AM
Rainmaker
4,433,583
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

No.

Apr 17, 2017 05:51 AM
Rainmaker
3,321,246
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

I do not know anyone who even offers it or any buyer in their right mind who would sign up for one in this market if they found a bank who offered it

Apr 17, 2017 05:49 AM
Rainmaker
4,799,481
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

I don't know what this is.

Apr 17, 2017 05:39 AM
Rainmaker
5,571,343
Barbara Todaro
RE/MAX Executive Realty - Retired - Franklin, MA
Previously Affiliated with The Todaro Team

no.... that's a question you might want to ask a lender and/or an attorney....

Apr 17, 2017 05:09 AM
Rainmaker
3,069,934
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

Joe Pryor nailed this one!

Apr 17, 2017 04:55 AM