Equity is the portion of a property's value that an owner holds after accounting for any outstanding debt. It represents the difference between a property's current market value and the remaining mortgage or other debt secured against it. Also known as home equity, it can grow as debt is paid down or as the property appreciates in value.
In shared equity arrangements, multiple owners hold proportional interests in a property, with each owner's equity tied to their respective ownership share. Unlike renting or traditional timeshare arrangements, co-ownership provides an opportunity to build equity through an actual real estate ownership interest.
With GoForth, each family acquires a 1/4 membership interest in the LLC that holds the property. This gives owners a documented ownership stake in a real estate asset, with the potential to benefit from property appreciation over time. When an owner is ready to move on, GoForth's Exit Guarantee provides a structured resale process to help facilitate the sale of their ownership interest.
Learn more about GoForth's ownership structure in our FAQ.