Shared equity homeownership programs, where investors contribute to the down payment in exchange for a share of future appreciation, have helped 50,000 families purchase homes in 2026. The model is growing rapidly as a creative solution to the affordability crisis.
Companies like Unison, Landed, and Homefund provide 10-20% of the home's purchase price, eliminating or greatly reducing the down payment requirement. In return, they receive a proportional share of the home's appreciation (or depreciation) when the home is eventually sold or the equity is bought out.
For a $400,000 home, a shared equity investor might contribute $40,000 (10%). If the home appreciates to $500,000, the investor receives $50,000 upon sale — their original investment plus 10% of the $100,000 gain. The homeowner keeps the remaining 90% of appreciation.
Government-backed shared equity programs are expanding as well. The FHA has approved several shared equity models for use with FHA-insured mortgages, and HUD is providing grants to community land trusts that use shared equity to maintain permanent affordable housing.
Critics note that shared equity reduces the wealth-building potential of homeownership, the primary vehicle for middle-class wealth accumulation. Supporters counter that partial equity building through homeownership is far superior to the zero equity building of renting.
