Victorian home on 21st Street in the Mission District
4 persons bought for $1,050,000
4 beds/2 baths
NUMBERS for each of 4 persons
Down payment:  $26,000
Monthly payment before tax savings: $1,391
Monthly payment after tax savings: $940

Eric and Sean are looking into options for buying their home in the San Francisco area. They have money set aside that they can use towards a home, but not enough.

Sean learns of Realtaasa website that may help renters owning a home in the Mission District in San Francisco. Each signs up as a buyer co-owner and within ten minutes, complete their profile. They mention what they are looking for, how much they are willing to pay per month and their small down payment amount.

  • Get a pre-approval letter from a lender: Eric and Sean find lenders from many local banks and interview them online using Realtaasa Seek and Messaging system They let them know they need a pre-approval letter. They provide the data requested from the lender and they got the pre-approval letter on the same day. So far, they can do all the work online, from their laptop. However, as they have predicted, the amount they qualify for is not enough to pay for the homes in the neighborhood they want to live.
  • Find co-owners: They have the option to continue renting or co-owning with one or more people. They decide to give co-ownership a try. They share their intention to co-own with their friends and family using their social media networks. They also look for potential co-owners on Realtaasa platform. They discuss online with many and choose their co-workers, Ellen and Andrew.
  • Find your home with a realtor: Just like with the lenders, Eric, Sean, Ellen and Andrew look for and interview many realtors online. Not all realtors are the same, many of them do not have experience working with co-owners before and this limitation can kill the deal. The potential co-owners use Realtaasa Seek and Messaging system. They let the realtor know what they are looking for and how much they qualify for (from their approval letter). The local realtor they choose is one of the most active in the Mission District. By knowing how much they can buy and by helping many co-owners in the area for years, she shows them just the right properties. After two weeks, they end up buying a 4 bedroom 2 baths home she lists and they all love. Not only their realtor understands their needs and saves them time, she also gives them back $3,000 to pay for part of their closing costs.
  • Sign a co-ownership agreement: The four co-owners sign a co-ownership agreement with the help of a local lawyer, a recognized expert in the co-ownership field. They buy and hold title together as tenants in common. The agreement states that Eric and Sean will purchase the property from Ellen and Andrew after five years. Eric and Sean are excited and happy that they were able to strike such as deal and get their dream house. Even though they do not own the whole house right away, they are comfortable that they will in five years. Both parties save a great deal of money on taxes, and rent while keeping their existing work and lifestyle.

Disclaimer: this is an example to illustrate co-ownership between for co-owner residents, living in the property. Numbers are from using Realtaasa co-ownership calculator and are meant to give you some initial idea only.You can use Realtaasa messaging system to ask a lender to help you quickly calculate exact numbers based on your unique case. Ask your pros in your Realtaasa team about other closing and miscellaneous costs.

*Based on 10% down payment, 90% loan, fixed 30 year mortgage, interest rate = 4%, tax rate = 33%