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What is a Selling Bonus?

When selling a property co-owned with Ourboro, closing costs are generally the co-owner’s responsibility. However, the Selling Bonus is an exception. If the property has experienced a year-over-year appreciation of 7% or greater, Ourboro will cover a portion of the closing costs at sale as a bonus to the co-owner. 

Why is this term important?

A Selling Bonus is important as it provides Ourboro co-owners incentive to preserve and maximize resale value in their properties, while also providing Ourboro an opportunity to share exceptional investment returns with co-owners beyond the standard equity split. 

This is an added benefit of professional co-ownership, as this bonus would likely not be built into a co-ownership agreement between two, or more, individuals.

Here is an example:

Let’s say we co-buy a home for $1,000,000, and we each have a 50% beneficial interest in the property. Five years later you sell the home for $1,450,000. In this case, the home has appreciated more than 7% year-over-year, so Ourboro may provide a Selling Bonus up to 50% of your closing costs. 

Related Terms

Co-ownership
Co-ownership Agreement
Professional Co-ownership
Beneficial interest

Related Resources

How It Works

As your co-investor, we purchase a share in the future…
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