Home affordability and accessibility in America is a problem our program, Steadworth aims to address. Steadworth has pioneered an innovative way for you to own a home by partnering with us. We provide homebuyers an alternative to paying PMI or waiting to save for a down payment by providing them with funds needed to get to a 20% down payment, in return for a percentage of the home’s appreciation.

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Steadworth offers different plans to homebuyers that we call Home Wealth Share Plans. A homebuyer can select a Home Wealth Share Plan based on the amount of down payment needed to get to 20% and the amount of future home appreciation value that they are willing to share with Steadworth. Each Home Wealth Share Plan is documented through a Home Wealth Share Plan Agreement ("Plan Agreement"). While the Plan Agreement gives Steadworth the option to purchase the home at the end of the Plan Agreement term, the intent is to give the homeowner the option to "repurchase the option" from Steadworth and ultimately own the home and keep 100% of the appreciation. With the "repurchase option", the Plan Agreement gives the homebuyer the flexibility to pay us our original investment and Home Wealth Share at any time, based on a value that is verified by a third party appraisal (also subject to an exit fee that must be paid by the homeowner). The option agreement gives us the option to purchase the property upon the following events: i) the end of the agreement term, if the homebuyer has not elected to repurchase the option; ii) an event of a default of the agreement terms; or iii) a default of the first mortgage by the homeowner.

Each Home Wealth Share Plan is structured around two main variables that the homeowner selects. The combination of these two variables determines the percentage of future appreciation (Home Wealth Share) that the homeowner shares with Steadworth.

Contract Term: This refers to a specific date in the future when the Plan Agreement expires. Homebuyers can select a 5-year or 7-year contract term, depending on their preferences and financial situation. At any point during the contract term, a homebuyer can sell or refinance their mortgage and pay us our Original Investment (defined below) and the portion of our Home Wealth Share. We have determined that staying in your home for at least 5 years maximizes the benefit for you and us, and offsets some of the initial costs that we incur when we invest in you and your home. As a result, if you sell or refinance your home within the first 5 years, your Home Wealth Share will be slightly reduced. See the section on "What If Homebuyer Wants To Pay Early".

Down Payment Split: This refers to the amount of money that a homebuyer wants to contribute towards their 20% down payment on a home. Homebuyers can choose to contribute either a 5% or 10% down payment, depending on their financial capacity. Steadworth will invest the balance of the down payment (subject to any caps that are in place). The amount that Steadworth invests is called our "Original Investment".The Home Wealth Share Plans are designed to provide flexibility and choice to homebuyers while ensuring that Steadworth's Original Investment is protected. The specific percentage of future appreciation value that will be shared with Steadworth depends on the combination of the Contract Term and Down Payment Split selected by the homebuyer.

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