Shared equity Meaning and Definition
Shared Equity
Pronunciation
Part of Speech
Noun
Definition
A financial arrangement where one or more individuals contribute a portion of the down payment and/or ownership stake in a property in exchange for shared ownership and potential financial benefits.
Examples
- The couple decided to enter into a shared equity agreement to purchase their dream home.
- Shared equity can be a smart financial move for first-time homebuyers.
Synonyms
- Co-ownership
- Partnership
Etymology
The term "shared equity" is derived from the combination of the words "shared" and "equity", reflecting the idea of sharing ownership and potential financial benefits.
Usage Notes
Shared equity arrangements are typically used in real estate transactions, but they can also be applied to other types of investments, such as a small business or a cryptocurrency investment.
Cultural References
Shared equity has been featured in various media outlets, including financial news channels and real estate blogs.
Idiomatic Expressions or Phrases
"Shared equity is the way to go"
Related Words or Phrases
- Co-ownership
- Joint ownership
- Partnership agreement
Collocations
- Shared equity agreement
- Shared equity ownership
- Shared equity investors
Frequency of Use
Shared equity is a relatively new concept and its use is becoming more prevalent in modern finance and real estate.
Common Misspellings
- Sharedequity
- Sharedeqity
- Shardequity