Shared Equity

What is Shared Equity?

Shared Equity is a program that partners with investors to cover most of a home purchase price. Homebuyers are only required to provide 1% of the purchase price while 25% is covered by The Housing Fund and 74% comes from a loan through one of our partner financial institutions.

Once a homeowner is ready to move on, they can sell to another qualified low- to moderate-income buyer. In order to keep the property affordable, The Housing Fund gets back its 25% contribution at 0% interest at closing. Additionally, any appreciation in value is split equally between the seller and The Housing Fund. The Housing Fund then reinvests this money back into the home by helping the next buyer with a 25% contribution to their purchase, helping more homebuyers participate in Shared Equity with different properties. The next buyer must meet THF income guidelines. This buyer will receive the Our House loan.


Counties  All of TN
Loan Investment  25% of sales price 
Monthly Payment  $50 monthly program fee 
Interest Rate  0% Due on Sale Loan 
First Mortgage  Conventional: Pinnacle 100, FirstBank, or Citizens Bank 

How to Participate

Who is eligible?

First-time, income-eligible homebuyers are able to participate in our Shared Equity program. The criteria for a first-time homebuyer varies by first-mortgage loan company:

  1. 1st Mortgage Loan Product: “A first-time homebuyer is considered anyone who has not owned his or her principal residence in the last three years, anyone buying in special targeted areas, or an honorably discharged or re-enlisted veteran and spouse


2. 1st Mortgage Loan Product: “A first-time homebuyer cannot own property in their name at the time of application (no waiting period).


These first-time homebuyers must also have an Annual Household Income that is below 120% of AMI (Area Median Income)

Below are the Income Limits for Davidson County. Please click here for all other county income limits.

# Persons  1  2  3  4  5  6  7  8 
120% AMI Income  $79,250  $90,600  $101,950  $113,150  $122,300  $131,350  $140,400  $149,400 

Other Requirements

In order to be considered for the Shared Equity program, individuals must:

  • Attend a THDA approved First-time Homebuyer Education Class. (Click Here for a list of certified counselors) 
  • Secure a 30-year fixed rate mortgage with one of our Lending Partners
  • Contribute a minimum 1% of sales price
  • Occupy the home as a primary residence

In order to apply, please fill out the application here.

If you have any further questions, please reach out to Nicole Mathews ([email protected])