Real Estate Option

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Understanding Real Estate Options



Real estate investments are one of the largest asset classes in the United States, along with stocks and bonds. However, investments in real estate are not very liquid, as compared to stocks or bonds. For example, homeowners who hold a large percentage of their wealth in real estate, mostly in their homes, are not diversified and are sensitive to price declines of their homes.

IRESE provides mortgage bankers and brokers with financial tools that allow them to sell Home Equity Protection Plan via Real Estate Put Option and Future Equity Agreement via Real Estate Call Option to property owners. Investors benefit from real estate price volatility, leverage on their investments and investment portfolio diversification.


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