Nada Holdings, Inc. recently announced a major partnership to scale its Home Equity Agreements (HEAs) through a $150 million agreement. This deal with Medalist Partners provides a forward flow purchase structure for the fintech company. This will enable Nada to sell a maximum of $150 million of its Home Equity Agreements (HEAs) to the New York-based company. As a result, more homeowners will be able to obtain liquidity without having to make monthly debt payments.
The strategic move addresses a growing need for alternative financing in the current real estate market. U.S. homeowners currently hold over $35 trillion in home equity. However, many people face high borrowing costs and reduced affordability for standard loans. This partnership offers a non-debt solution that aligns the interests of residents and institutional investors.
Institutional Support for Real Estate Innovation
This infusion of capital will enable Nada to further grow the national expansion of its Home Equity Agreements (HEAs). The company is currently operating in 14 states and will soon expand into other markets. Medalist Partners is an expert in structured credit and adds great value to this partnership. This partnership also indicates the growing institutional interest in home equity investments as a sound asset class.
John Green, Founder and COO of Nada, discussed the significance of this milestone:
“This program represents an important milestone for Nada and for the broader home equity investment market. Partnering with Medalist allows us to scale with institutional discipline while continuing to deliver a differentiated, non-debt solution for homeowners. The structure provides durable capital to support long-term growth.”
Greg Richter, CEO of Medalist Partners, shared his enthusiasm for the new venture:
“We’re excited to support Nada in expanding its presence as a leader in the growing home equity agreement space. We look forward to working with Nada to bring these much-needed alternative financing solutions to homeowners through this partnership.”
Explore Finance Tech News for the latest innovations in financial technologies and expert insights shaping the future of digital finance!
News Source: Businesswire.com
