Educators found Landed in 2015. Their mission is to help educators (teachers and staff), healthcare works, and first responders to buy homes in the communities they serve.  The down payment assistant program from Landed helps with monthly affordability and eliminating the Private Mortgage Insurance(PMI).

How It Works

Landed provides a 10% down payment and buyers are required to put down another 10%.  Together, they reach 20% equity to eliminate PMI.  Which makes homes in expensive areas more affordable.

This program is not a grant or a loan.  When the homeowners are ready to refinance or sell, the homeowners have to pay back the original 10% of the down payment plus another 25% of the appreciation since then.  For example, for simplicity, if buyers want to buy a house for  $1,000,000, Landed will bring $100,000 for a down payment.   The buyers will bring another $100,000.  The combined amount of 20% down payment makes the offer more competitive.  

When the homeowners want to sell in another 5 years, for instance, the Landed original down payment, plus or minus the appreciation or depreciation is due. Homeowners decide when they want to end the relationship.  They can do this by either sell or refinance but cannot be more than 30 years.   They must pay back the original $100,000 plus 25% appreciation if applicable.   For example, the market value of the home is now 1,100,000 which is $100,000 in appreciation.  Homeowners pay to Landed $100,0000 plus $25,000 (25% of $100,000), totaling $125,000. Reversely is also true since this is a partnership between the homeowners and Landed. If the property depreciates and is now worth $900,000.  There is a $100,000 depreciation. Now the homeowners pay back to Landed $100,000 minus  $25,000 (25% of $100,000), totaling $75,000 instead of the original $100,000. 

Go to Landed.com to learn more about the down payment assistance program.