Article summary
For most people, the largest asset that they own is their home. Homeowner’s insurance can cover you when it comes to fire, flood, and break-ins. But how can you protect yourself against dips and crashes in the housing market?
You couldn’t, until now.
A passion for providing security to homeowners.
Before Home Price Protection there was no way to protect the equity in your home. Buying a home is an investment opportunity, but there are risks that come with that opportunity. Residential real estate values change over time, they are seasonal and cyclical. When home prices start to decline, you watch the equity in your home evaporate and historically the only way to prevent a loss in equity was to sell your home. We created Home Price Protection to protect the value of your home against these downturns in the real estate market.
In the past, people had a single option if property prices dropped and they were underwater with their loan. They could sell their home and walk away with the equity, but that isn’t always an option. And there are costs to selling your home, realtor fees, repairs, and closing costs. Plus, where will you go, you need to find a new home. There is also market timing, in a declining housing market it may take extra time to sell your home, costing you more lost equity. With Home Price Protection, when prices drop and the market begins to decline, you receive payments for the loss of home value. If there is a larger macro-economic event you could use the cash to help pay bills. This allows homeowners to stay in their homes.
Everyone loves it when home values rise over time, but when home values drop in value...that’s what we take care of.”
Ryan Smith, Co-Founder
The inspiration behind Home Price Protection
In 2008 we saw what happened to home prices during the great recession. You couldn’t turn on the news without seeing another story about someone losing their home, usually because of circumstances outside of their control. It happened in every demographic - retirees, single parents, first-time homebuyers, house flippers, and experienced investors. It was frustrating and heartbreaking to watch. So, one of our goals is to make that situation completely preventable.
Home Price Protection allows homeowners the opportunity to purchase protection for their home against home price declines. They can choose the amount of protection and all the other features to create a customized protection product. Automatically every month we check home prices in their area and if prices decline below the minimum selected, a payout is made. There is no claim, and the homeowner does not have to sell their home to prove a loss. It’s simple and easy. Home Price protection provides homeowners peace of mind.
The REZITRADE team
The team at REZITRADE has over 120 years of experience in the financial and real estate industries. We’ve worked as mortgage originators, financial advisors, and wealth managers. Our decades in these industries have revealed the critical need for Home Price Protection, and we are excited to share this product with you.
Key Takeaways
- Historically homeowners couldn’t protect the value of their home from falling home prices.
- Changes in real estate values are seasonal, cyclical, and inevitable.
- Home Price Protection protects against price declines by paying losses directly to homeowners when they occur.
