Nada Launches U.S. Home Equity Fund I, Offering Access to One of the Fastest-Growing Asset Classes in Real Estate
Nada has announced the launch of U.S. Home Equity Fund I (US HEF), a first-of-its-kind fund designed to provide qualified investors with direct exposure to the $35 trillion U.S. home equity market through a diversified portfolio of Home Equity Agreements (HEAs), available on their newly launched investment platform, Homeshares.
Since 2013, U.S. home equity has nearly tripled to $35 trillion ( Federal Reserve, Q3 2024), and HEAs have rapidly gained institutional adoption with banks, insurers, and private credit funds increasing participation over the past two years. In 2024, $1.1 billion in HEA-backed securitizations and new rating methodologies from DBRS Morningstar and KBRA cemented their place in institutional portfolios. With HEAs now firmly established as a scalable investment, US HEF expands access beyond institutions, allowing qualified accredited investors, family offices, private wealth groups, and a broader set of alternative asset managers to participate in a structured, scalable approach to home equity investing.
'We are witnessing the emergence of one of the most exciting new asset classes in real estate,' said John Green, Founder and COO of Nada. 'Home equity is the single largest source of wealth in the U.S., yet until recently, the only way to access it was through direct homeownership or traditional mortgage-backed securities. HEAs have changed that, creating a new way for investors to participate.'
What is a Home Equity Agreement (HEA)?
A Home Equity Agreement (HEA) gives homeowners financial flexibility by accessing their home equity without debt, monthly payments, or interest. Instead of a loan, they receive an upfront lump-sum payment in exchange for a share of their home's future value.
For investors, HEAs provide direct exposure to residential real estate appreciation with enhanced returns without the burdens of property ownership. Unlike traditional homeownership, where appreciation is captured dollar-for-dollar, HEAs are structured so that investors earn a multiple of the home's appreciation rate, accelerating returns relative to home value growth.
A Structured Approach to Home Equity Investing
U.S. Home Equity Fund I provides investors with a structured, risk-adjusted way to gain exposure to residential real estate—one of the most stable and high-growth asset classes. US HEF I is built for risk-adjusted growth and institutional liquidity, targeting 14-17% net IRR through exposure to home price appreciation. The fund focuses on owner-occupied properties for stability and diversification while limiting exposure to 35% of any single property's value to ensure downside protection. With assets positioned for future securitization or institutional sales, US HEF offers a scalable, institutional-grade approach to home equity.
With home equity emerging as a recognized institutional investment class, U.S. Home Equity Fund I provides an institutional-caliber approach to an asset that has been a cornerstone of wealth creation for decades—now structured for broader participation.
Nada: Leading the Next Era of Real Estate Ownership
Nada builds on six years of innovation in home equity investing. Having transacted over $100M in gross asset value. Its active HEA portfolio has delivered realized payoffs with a weighted average IRR of 19.3% since inception.
' This is a defining moment for HEAs as an asset class," said Tore Steen, CEO of Nada. " U.S. Home Equity Fund I is structured to capitalize on this momentum—offering a rare opportunity in a rapidly growing market. '
For more information, visit www.homeshares.co.
Forward-Looking Statements
This press release may contain forward-looking statements describing future expectations, plans, results, or strategies. These statements are subject to risks and uncertainties that may cause actual outcomes to differ materially from those projected. Changes in product offerings, regulatory plans, and business strategies are potential factors influencing such differences.
Media Contact:
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Miami Herald
19 hours ago
- Miami Herald
Ford's $30K Electric Pickup Could Crush Jeff Bezos-Backed Rival
With a targeted price tag of just $30,000, the new battery-electric pickup Ford Motor Co. announced this week promises good news for buyers looking for an all-electric truck that won't break the bank. Costing barely half as much as the typical EV sold in the U.S. this year, Ford is betting it will position the automaker as one of the leaders in the EV market. That could be bad news for another brand focused solely on the affordable EV segment, the Jeff Bezos-backed Slate Auto, which in April revealed its own electric pickup it currently expects to start delivering next year at a starting price of $27,000. While Slate would appear to have an advantage when it comes to cost, Ford's "Universal EV" has lots going for it, with Sam Abuelsamid, chief analyst at Telemetry Research, declaring "Slate is cooked." After surging eightfold between 2019 and 2023, EV sales have since lost much of their momentum, market share sliding to just 8.6% at the end of the first half of 2025, according to Cox Automotive data. Part of the problem is that early adopters have largely already gotten the vehicles they want. Further growth depends upon targeting more mainstream buyers. That isn't easy, however, when the average transaction price for an EV was $55,689 in July, according to Kelley Blue Book. For all new vehicles sold in the U.S. last month, the average, or ATP, was $48,401. Complicating matters: the $7,500 federal tax credit many EV customers depended on will go away at the end of the September due to the federal budget bill enacted last month. To kickstart the market, analysts widely agree, means bringing out more new EVs priced in the low $30,000 range, and even below that figure. Ford says it's on track to get there thanks to the secret "skunkworks" program it set up in Long Beach, California three years ago. A small product development team came up with what they're calling the "Universal EV." Echoing what happened when founder Henry Ford switched on his first moving assembly line in 1913, Ford is setting up a completely new manufacturing process at a plant in Louisville, Kentucky. The ultimate goal is to produce an extended family of low-price battery-electric vehicles. In 2027 that will begin with a 4-door pickup with a "targeted price," said Ford, of $30,000. Details have yet to be released but Kumar Galhotra, Ford's Chief Operating Officer, made it clear the truck won't be just an econobox. "We do not believe that you need to strip out features, functionality, screens or even seats to make a vehicle affordable. We will achieve affordability by radically simplifying parts and process." Ford is by no means the only automaker feverishly working to shave EV prices. General Motors is readying an all-new version of the Chevrolet Bolt, its first long-range all-electric model set to debut this year. Kia has the EV4 coming, Nissan is finishing work on the next-generation Leaf and Tesla keeps promising its own entry model Then there's Slate Auto, based in the Detroit suburb of Troy. "We are building the affordable vehicle that has long been promised but never delivered," CEO Chris Barman said in April as she pulled the cover off an all-electric 2-door pickup. As with its more established rival, the Slate team poured over every aspect of automotive design, engineering and manufacturing. The truck's body will be made of unpainted gray polypropylene, rather than the normal steel or aluminum, for one thing. Unlike Ford's electric truck, meanwhile, the Slate model will be the ultimate example of stripping things down to their bare essentials. There'll be no radio, for example, and you'll have to supply the smartphone or tablet if you want an infotainment system. Even the windows will be hand-cranked. "I like simplifying things and making a lot of things optional for customers," said analyst Abuelsamid, "But they've gone too far." But one also has to take the promises made by both companies with a healthy dose of skepticism, cautioned Brinley. "How many times have we seen automakers set a price target but then end up coming in at $2,000, $3,000, even $5,000 more." And it remains to be seen, she added, whether either company will meet its planned production date. That's a common problem across the auto industry and Tesla has shown that this is particularly problematic for start-ups. Ford, for its part, is confident it can deliver, and then gain a real leg up on its competitors in the bid to drive down EV prices. The number two U.S. manufacturer is particularly hopeful the Universal EV project will allow it to challenge the domestic Chinese automakers gaining so much traction around the world. Slate isn't ready to concede defeat. Far from it, the start-up automaker claiming to have so far recorded over 100,000 advance reservations for its truck. But there seems little doubt Ford has now changed the rules of the game in the emerging market for truly affordable EVs. Copyright 2025 The Arena Group, Inc. All Rights Reserved.
Yahoo
a day ago
- Yahoo
HELOC rates today, August 15, 2025: Unchanged for now, with an interest rate cut possible next month
HELOC rates today remain under 9%. While the Federal Reserve is expected to cut interest rates next month, rates on a home equity line of credit are unmoved for now. However, HELOC introductory rates, valid for six months or longer, currently range from 3.99% to 6.49% APR. Read more: Is now a good time to take out a HELOC? This embedded content is not available in your region. HELOC rates Friday, August 15, 2025 According to Bank of America, the largest HELOC lender in the country by volume, today's average annual percentage yield (APR) on a 10-year draw HELOC is 8.72%. That is a variable rate that kicks in after a six-month introductory rate, which is 6.49% in most U.S. states. Of course, your personal HELOC rate will depend on various factors, including where you live and your creditworthiness. Homeowners have an impressive amount of value tied up in their houses — more than $34 trillion at the end of 2024, according to the Federal Reserve. That's the third-largest amount of home equity on record. With mortgage rates lingering in the high 6% range, homeowners are not going to let go of their primary mortgage anytime soon, so selling a house may not be an option. Why let go of your 5%, 4% — or even 3% mortgage? Accessing some of that value with a use-it-as-you-need-it HELOC can be an excellent alternative. Dig deeper: Is a HELOC a good idea? Pros and cons to consider. How lenders determine HELOC interest rates HELOC interest rates are different from primary mortgage rates. Second mortgage rates are based on an index rate plus a margin. That index is often the prime rate, which today is 7.50%. If a lender added 1% as a margin, the HELOC would have a rate of 8.50%. Lenders have flexibility with pricing on a second mortgage product, such as a HELOC or home equity loan. Your rate will depend on your credit score, the amount of debt you carry, and the amount of your credit line compared to the value of your home. Shop two or three lenders for the best terms. And average national HELOC rates can include "introductory" rates that may only last for six months or one year. After that, your interest rate will become adjustable, likely beginning at a substantially higher rate. How a HELOC works You don't have to give up your low-rate mortgage to access the equity in your home. Keep your primary mortgage and consider a second mortgage, such as a home equity line of credit. The best HELOC lenders offer low fees, a fixed-rate option, and generous credit lines. A HELOC allows you to easily use your home equity in any way and in any amount you choose, up to your credit line limit. Pull some out; pay it back. Repeat. Meanwhile, you're paying down your low-interest-rate primary mortgage like the wealth-building machine you are. Learn more: How do fixed-rate HELOCs work, and which lenders offer them? This embedded content is not available in your region. Look for introductory rates, but be aware of a rate adjustment later Today, FourLeaf Credit Union is offering a HELOC APR of 6.49% for 12 months on lines up to $500,000. That's an introductory rate that will convert to a variable rate later. When shopping lenders, be aware of both rates. And as always, compare fees, repayment terms, and the minimum draw amount. The draw is the amount of money a lender requires you to initially take from your equity. The power of a HELOC is tapping only what you need and leaving some of your line of credit available for future needs. You don't pay interest on what you don't borrow. HELOC rates today: FAQs What is a good interest rate on a HELOC right now? Rates vary so much from one lender to the next that it's hard to pin down a magic number. You may see rates from 7% to as much as 18%. It really depends on your creditworthiness and how diligent a shopper you are. Is it a good idea to get a HELOC right now? For homeowners with low primary mortgage rates and a chunk of equity in their house, it's probably one of the best times to get a HELOC. You don't give up that great mortgage rate, and you can use the cash drawn from your equity for things like home improvements, repairs, and upgrades. Of course, you can use a HELOC for fun things too, like a vacation — if you have the discipline to pay it off promptly. A vacation is likely not worth taking on long-term debt. What is the monthly payment on a $50,000 home equity line of credit? If you take out the full $50,000 from a line of credit on a $400,000 home, your payment may be around $395 per month with a variable interest rate of 8.75%. That's for a HELOC with a 10-year draw period and a 20-year repayment period. That sounds good, but remember, it winds up being a 30-year loan. HELOCs are best if you borrow and pay back the balance in a much shorter period of time.
Business Insider
2 days ago
- Business Insider
OpenAI employees to sell $6B of shares to SoftBank, others, Bloomberg says
Current and former staff of Microsoft-backed (MSFT) OpenAI intend to sell roughly $6B worth of stock to an investor group comprised of Thrive Capital, Dragoneer Investment, and SoftBank (SFTBY), in a deal that values OpenAI at $500B, Bloomberg's Kate Clark reports, citing people familiar with the matter. The discussions are early an the size of the sale could potentially change, the author notes. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
