Now that we have explained how Down Payment Assistance works, let's see the numbers in action.

jensens
Meet the Jensens, they have saved a down payment for their first home, however rising prices mean they no longer have 20% down to purchase a home in their target neighborhood, get the best rates and avoid PMI. They could use some assistance.
Target Purchase Price
$1,000,000
Down Payment Saved
$100,000
Desired Down Payment Assistance from Noah
$100,000

In 10 Years, the Jensen's buy out Noah's investment. Here are sample payoff scenarios, based on the future home values.

Home Values Fall
Home Values Rise

Future Home Value

$800,000
$1,200,000

Purchase Price

$1,000,000
$1,000,000

Noah’s Down Payment Assistance

$100,000
$100,000

Mortgage Balance 1

$600,000
$600,000

Jensen’s Equity

$156,250
$406,250

Noah Buyout

$43,750
$193,750

Disclosures:
The pricing estimate and associated terms presented above are for illustrative purposes only. Actual investment terms will be based on a full application and underwriting process that may include a credit check, home appraisal, income verification and other documents collected pertaining to the user and their underlying property.


1 The mortgage balance at the end of 10 years assumes a 30-year fixed mortgage with standard amortization. The actual mortgage balance for the homeowner at the time of payoff / end of the term may be different based on the terms and conditions of the mortgage.