A homeowner applies for your program through a sponsoring community organization or participating lender.
Homeowners can qualify based on the guidelines set by the sponsor, such as place-based and income requirements, targeting specific impact goals.
Homium works with the primary mortgage lender to fund a portion of the homes value, usually between 10% - 35% with a second position loan.
The share of home equity the homeowner shares with the community fund is equal to the percent loaned at purchase. This never increases.
Homium services the loans on behalf of the program at a very low cost, and supports on going program services for homeowners through the life of their loans.
Repaid loan proceeds flow back into the fund and out to new loans or can be redeemed by sponsors. Homium also enables programs to manage loan forgiveness at their discretion.
You set the goals: income range, neighborhoods, workforce, and other parameters. Homium works with local housing counselors to guide future homebuyers through budgeting, buyer education, loan applications.
Grants or PRI-style investments flow into one pooled fund. Homium administers the program structure and the fund in compliance with your target criteria and impact goals. Programs remain open-ended letting new and existing sponsors continue to invest with ease.
The homebuyer receives affordable financing with a conforming first mortgage and a no-interest, no-monthly payment second mortgage, usually 10 - 35% of the purchase price.
When a homeowner sells or refinances, their repaid funds flow back to the pool to empower the next family or, for PRI investors, be paid out.
Homium serves as an end-to-end lender and fund manager, originating and servicing every loan, and reporting on impact in real-time. Your admin costs and effort stay low.
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Homium simplifies the process of deploying homeownership programs. By becoming a silent equity partner through shared appreciation loans, your organization can leverage purpose-driven capital to bridge the affordability gap for first-time buyers.
Homium has a one-of-a-kind, best-in-class lending and securitization platform for pooled shared appreciation loans, which have their best use case in enabling non-profit funds supporting homeownership and home equity financing.
Homium is a specialized shared appreciation lender integrated with Guild Mortgage, ready to offer this product through high volume loan channels, fully capable of administering or plugging into down payment assistance programs.
Homium has a low cost, high integrity securitization platform specifically designed to service, price, and manage shared appreciation loans for revolving capital. We can offer the absolute lowest cost for sustaining shared appreciation loan programs.
Homium aligns with philanthropic housing initiatives by providing fair and transparent financial solutions that support homeownership and reduce housing inequality. By investing in Homium, your organization will create sustainable homeownership opportunities for first-time homeowners and underserved communities.
A Homium CHT pools philanthropic contributions to fund down payment assistance loans for first-time homebuyers. Foundations can set up programs to target specific demographics or regions, maximizing the impact according to their strategic goals. The trust operates under strict compliance with state and federal regulations, ensuring transparency and fairness.
Homium and CHTs are a flexible program that can be deployed to specific borrower lending criteria of the donor funder’s choosing. The Homium team will work with your organization to design a purpose-driven program and criteria. For example, program lending criteria may be:
Homium measures impact through several metrics and is committed to maintaining the highest standards of transparency and accountability. For our philanthropic partners and investors, we provide regular reports that detail the impact metrics such as the number of first-time homeowners created, increase in homeowner equity over time, and GDP growth in targeted areas if relevant. These reports are designed to ensure that all stakeholders can clearly see the effectiveness and financial health of their investments, helping them make informed decisions and measure the real-world impact of their contributions.
Homium creates a sustainable, compounded impact by recycling capital through a model where the proceeds from repaid shared appreciation loans are continually reinvested into new loans for first-time homebuyers. This cycle ensures ongoing support, promotes economic growth, and enhances housing stability within communities. The lack of interest or principal payments during the loan term also reduces the cost burden on borrowers. This model allows capital to be reused multiple times, compounding the impact of initial investments and facilitating broader economic benefits over time.
Eligible participants include:
Contributions can be made via donations, grants, or program-related investments into a trust that purchases Homium tokens. These tokens represent shares in pools of shared appreciation loans used for down-payment assistance for first-time homebuyers, allowing your funds to continuously support new homeowners. Gift that keeps on giving.
In case of default, Homium works closely with borrowers to find sustainable solutions, prioritizing homeownership retention. Foreclosure is considered a last resort, with efforts focused on loan modification and support.
