Tadaima User Documentation
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  • Welcome
  • Tadaima Co-ownership
    • Myths of Homebuying
      • Example 1: 20% Down Payment
      • Example 2: Waiting for a Job
      • Example 3: Timing the Market
    • What Matters When Buying
    • When You Can't Buy -> Co-own
    • Sequential Co-ownership
      • Component 1: Equity Share Agreement
      • Component 2: Assumptions and Release of Obligations Form
      • Component 3: Performance Lien
      • Component 4: Assumable Mortgage
    • Benefits of Co-owning
    • Use Cases of Co-Owning
  • Financials of Co-Owning
    • Why is it Worth it?
    • Understanding Real Estate Investing
      • Equity Explained
      • Cashflow Sources and Sinks
      • Real Estate Investment Modeling
    • A Service for the High Mobile
      • Transformation 1: Ownership Structure
      • Transformation 2: Transaction Temporality
      • Remapping our Transformations
      • Tadaima Investment Modeling
    • The Equity Model for a Tadaima Home
  • Next Steps
    • Schedule 1:1 with Tadaima
    • Prepare Financial Documents
    • Shop Available Inventory
  • Appendix
    • Housing Market History
      • Prior 1920s
      • FDR's New Deal
      • Recent Efforts to Increase Homeownership
    • Real Estate Concepts
      • Counterparty Risk
      • Lien Priority
      • Mortgages & Liens
      • Title & Deed
      • Co-Borrower & Co-Signer
      • Appraisals
    • Other Myths
      • Wait Till Marriage
      • Possibility of 2008 Again
      • Renting is Cheaper
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  • Asset
  • Liabilities
  • Equity
  1. Financials of Co-Owning

The Equity Model for a Tadaima Home

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Last updated 3 months ago

The Equity Model for a Tadaima Home provides a unique approach to home ownership that can provide benefits such as increased affordability, greater financial stability, and flexibility for those who might not be able to afford a home on their own or for those who are looking for alternative investment opportunities. Let's take a look at how our model works:

The Equity Model for a Tadaima Home involves a company, A Tadaima LLC, that acts as the stakeholder. The company allows for multiple shareholders, which provides a framework for past, present, and future tenants to become co-owners instead of renters.

Let's break down the assets and liabilities like we did in the previous section.

Asset

Since the home is owned by a Tadaima LLC, that holds the title to the property, the asset is the home itself. The type of home could vary from a single family home, to a multifamily home, to a condo or a townhouse, etc.

Liabilities

The liabilities of the Tadaima Home include a mortgage and bonds.

The mortgage is the amount of money borrowed to purchase the home, and the bonds are a financial instrument used to raise additional capital for the company. These liabilities are deducted from the value of the home to determine the shareholder equity.

Equity

The shareholder equity is calculated by subtracting the total amount of liabilities (mortgage and bonds) from the value of the home. This gives the net value of the home that is owned by the shareholders.

Finally, the equity per share is the share of equity owned by each co-owner. This is calculated by dividing the total equity by the number of outstanding shares of stock. Each co-owner's equity in the Tadaima Home is proportional to their share ownership in the company.

Overall, the Equity Model for a Tadaima Home provides a unique approach to home ownership that allows for multiple co-owners to share in the equity of the property, providing greater financial stability and flexibility for all involved.