Creative Real Estate Solutions

Shaking Hands



About Us    Realtor Benefits     Buyer Benefits     Seller Benefits     Investor Benefits    Home Page

Testimonials     Lender Benefits     Builder Benefits     Pre-Foreclosure     Mortgage Calculator



"In today's real estate climate, the survivors are those that can think creatively".
FRENDCO Creative Financing and Equity Share Specialist's have been
successfully solving Seller and Buyer problems since 1992.

What is Equity Sharing?

Equity Sharing is simply the sharing of equity of real property by two or more parties for a mutually agreed period of time. We believe with rising prices this is the way real estate will eventually be transacted in the 21st century.

It matches a qualified homebuyer with an investor who contributes the down payment. The investor may be a cash investor or the seller of the property contributing their equity (No out-of-pocket cash.) as the down payment for the buyer.

In return, the investor retains an ownership position in the property.

Since there are multiple parties involved, a formal "Equity Share Agreement" defining the terms and conditions agreed to by the parties should always be in place.

Our Role

FRENDCO Facilitation Services’ role is that of an intermediary that provides the "Equity Share Agreement".

RECO (Resident Co-Owner)

During the agreement period, the homebuyer lives in and enjoys all the comforts of home ownership, and pays the normal expenses including principle, interest, taxes, insurance, maintenance, and upkeep. They also benefit from tax deductions based on the loan interest and property taxes they pay.

INCO (Investor Co-Owner)

Since the down payment provided by the investor is an investment and not a loan the homebuyer usually makes no monthly payments, so their finances are not negatively impacted.

The investor’s investment is similar to buying stock in the stock market. Their return is based-upon their expectation that the property will increase in value over the next number of years.

Agreement Term

When the agreement matures, the homebuyer has enjoyed home ownership, and assuming the home has appreciated sufficiently the homebuyer may have accumulated a nest egg that could allow them to purchase another home on their own.

The homebuyer then has the option to either 1) refinance, buy out the investor’s interest and remain in the home indefinitely as sole owner or 2) the parties can decide to sell the home on the open market, pay off all encumbrances, and each reimbursed according to their respective ownership position and cash outlay.


This program offers buyers in need of assistance, a springboard or stepping-stone that can help get them off the rental roles and achieve the American dream of home ownership.

The Investor has helped someone in need and made a potentially good real estate investment that also offers tax benefits plus participation in future appreciation.

In addition, investors have none of the costs or management hassles associated with owning rental property. Upon the term of the agreement, they may also take advantage of depreciation benefits and defer capital gains taxes via the Internal Revenue Code 1031 exchange.

Owners of rental property can be better off financially owning 50% of 2 properties with an Equity Share arrangement, than 100% of 1 property the conventional way.

With an Equity Share arrangement, the residant co-owner has all the financial responsibility. They pay all the taxes, insurance, utilities, maintenance and upkeep.

What is it worth to an Investor of rental property to not receive any phone calls from a residant because something had to be fixed or replaced? As they say, "Time is money!"

Note: The previous description is a basic overview of our program. For more details click on the available links above and/or e-mail FRENDCO.