# How much does a Home Equity Agreement Cost? We believe in transparent pricing with no surprises. Here's a breakdown of the costs associated with your HEA: ### 1. Origination Fee Nada charges between **4-5% in origination fees**, which is deducted from the investment proceeds at the time of funding. This ensures you can access your home's equity upfront, without worrying about monthly payments or ongoing fees. ### 2. Underwriting & Processing Fees In addition to the origination fees, there are **underwriting and processing fees** that **range from $500-$1000.** These fees are deducted from the investment proceeds and cover the cost of underwriting your property and processing your application. ### 3. Equity Share on Home Value Nada takes a percentage of your home's value at the time of origination. The cost to buy back your equity on a HEA is determined by the lower of two methods: (1) Nada's equity share, which is a percentage of your home's value recalculated at payoff when you sell, refinance, or buy back your equity; or (2) an annualized cost limit, capped at 19.99% per year to ensure your total repayment never exceeds this limit, providing peace of mind and financial protection. # Find Out How Much Cash You Qualify For Choose the home value, mortgage balance, and appreciation rate. See an estimate of your future Nada share and your remaining equity—no credit score impact or application required. Estimate the value of the home: Estimate how much you currently owe on your home: Calculate You may be able to access up to $125,000 without a loan or monthly payment. ## Now, let's see how much it will cost Enter the amount of equity you would like to access: Maximum available: $125,000 Select your expected average annual home price appreciation scenario: - -1% Depreciation - +1% Low Appreciation - +3% Moderate Appreciation Your initial estimated home value from above: $500,000 | Agreement Exit Year | Your Home's Value | Your Share | Nada's Share¹ | |---------------------|-------------------|------------|----------------| | 3 | $515,151 | $385,583 | $129,568 | | 5 | $525,505 | $379,677 | $145,828 | | 10 | $552,311 | $399,045 | $153,266 | ⓘ Nada's equity share is capped at 19.99% annually. If your home's value appreciates rapidly, we limit the total repayment amount so that you are never overburdened. ¹ Includes original amount accessed. When you enter into a Home Equity Agreement with Nada, the value of Nada's gain or loss is tied to the change in your home's value from the starting appraised value at the time of the agreement. Nada receives a percentage share of your home's future value, based on the amount of equity you access upfront. To determine that share, Nada multiplies your initial cash amount by an equity multiple of 1.85. For example, if you access 10% of your home's value as cash, Nada's share would be 18.5% (10% x 1.85). At the end of the agreement, Nada calculates the settlement amount by applying its share percentage to your home's updated appraised value. To protect homeowners, Nada caps the annualized return at no more than 19.99% per year, ensuring predictable and fair repayment terms. ## 10-year example investment & repurchasing scenario This example scenario is one of many based on the estimated home value at repurchase. | Initial Home Value | Cash You Receive | Nada's Equity Share | Estimate Future Home Value | Estimated Payoff | |---------------------|------------------|---------------------|---------------------------|------------------| | $1,000,000 | $100,000 | 18.50% | $1,480,000 | $273,845 | Nada receives 18.50% of the new home value, equating to a 10.60% annualized cost over 10 years. ## Your home appreciated by $480,000, and Nada's share increased accordingly. If the value stayed the same or declined, Nada would share the risk with you. # Why Choose Nada ### Simple & Transparent Costs Nada charges a one-time fee with no interest or monthly payments. The equity share is calculated at the time of settlement, ensuring clarity and simplicity in repayment terms. ### Lower Costs Than Traditional Options Unlike HELOCs or refinancing, there are no ongoing payments or high interest rates. ### Capped Repayment for Predictability Your total repayment is capped at 19.99% annually, providing financial protection and peace of mind. ### Access to Discounted Mortgage Services As a licensed mortgage office, Nada offers discounted refinancing services to help you buy back your equity. We also monitor interest rates to ensure you get the best deal when refinancing. ### Access to Discounted Realtor Services Many of our licensed realtors or partners can list your home at a discounted rate, saving you money if you decide to sell your property. ### No Monthly Payments or Interest Charges Nada's Home Equity Agreements allow you to access funds without monthly payments or accruing interest. ### Flexible Use of Funds The funds from a Home Equity Agreement can be used for any purpose, such as home improvements, debt consolidation, medical expenses, or other large purchases. ### Easier Qualification Requirements Unlike traditional loans, Home Equity Agreements have more lenient credit score requirements, making it easier for homeowners with lower credit scores to access their home equity. # Common Questions What is the annualized cost limit (ACL)? The maximum annual cost of your Homeshare, expressed as a percentage of the investment return, from the beginning to the end of the arrangement. This limit is subject to underwriting considerations and capped at 19.99% or the maximum allowed in your state, whichever is lower. What is an exchange rate? The exchange rate determines how much of your home’s future value is exchanged for the cash you receive today. Nada’s standard exchange rate starts at 1.85. Are there any prepayment penalties? No, Nada’s Home Equity Agreements have no prepayment penalties. You can sell your home or buy out the agreement at any time without extra fees.