You use a non-profit co-operative housing corporation (NPCHC) to transform your home into shared ownership. Your house value backs an annuity with fixed interest and maturity terms. Other people wanting to be resident-members each purchase a share in the NPCHC and must live in the house. Resident-members collectively pay off the annuity and cover operational costs, including reserves for major repairs like HVAC, roofing, and other infrastructure. This provides the original homeowner with dependable monthly payments for 10-25 years.
As the original homeowner, you can choose to remain living in your house while receiving your annuity payments, or relocate elsewhere while continuing to receive your monthly annuity payments.
The monthly annuity payment for a million-dollar house is approximately $9,804 for ten years, $7,245 for 15 years, or $5,997 for 20 years. Use the
Housing Cost Calculator to see what your monthly annuity would be. Pay particular attention to the Total interest. That interest goes to you by using an annuity.
Affordable Living: As the original homeowner if you stay, your net monthly housing cost would be approximately $240 to $480 per person. You retain partial ownership of your house (10-20%). If you decide to live elsewhere you still receive the monthly annuity payment even if you live in another country.
Please read the following so you know the benefits and financials of non-profit co-operative housing corporations (NPCHC)
What is non-profit co-op housing and what can it do for me?
Homeowners: Financials & benefits of turning your home into a co-op
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