…you could expect:
Our payment to you at the start
HESA amount
Our origination fee
Net proceeds Net proceeds before expenses (e.g., appraisal, home inspection and registration of collateral charge on title)
Your home’s value in the future
Ending value of your home This calculator assumes you sell your home for its fair market value at the end of your HESA. You also have the option to buy out the HESA without selling your home anytime after the first 5 years. However, we won’t share in any depreciation if you buy out the HESA.
Starting value of your home We apply a 5% risk adjustment to your home’s appraised value to reflect the inherent uncertainty in any appraisal and the fact you are not actually selling your home
Total change in home value
How we’ll split the change in home value
Your share of the change in value (%)
Your share of the change in value ($)
Our share of the change in value (%) A HESA isn’t debt, so there’s no interest rate. Instead, we share in the appreciation (or depreciation) of your home, like a passive investor. The rate at which we share in the appreciation (or depreciation) of your home depends on the size of your HESA and the appraised value of your home.
Our share of the change in value ($) A HESA isn’t debt, so there’s no interest rate. Instead, we share in the appreciation (or depreciation) of your home, like a passive investor.
Your payment to us at the end
HESA amount
Our share of the change in value
Our close-out fee
Your HESA payment Payment amount excluding expenses (e.g., appraisal and discharge of collateral charge on title)
Your home equity at the start
Appraised value of your home
Outstanding secured debt
Your equity before HESA
Your equity accessed with HESA
Your equity at start of HESA
Your home equity at the end
Ending value of your home
Outstanding secured debt For the purpose of this calculator, we make a simplifying assumption that you will pay down any secured debt in equal payments over a 20-year period
Your HESA payment Payment amount excluding expenses (e.g., appraisal and discharge of collateral charge)
Your equity at end of HESA
Change in your home equity Percentage difference between your home equity at the start of the HESA and your home equity at the end of the HESA
