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Ask HN: Housing for equity?
I'm not sure if this is even considered to be a good idea in general. Has anyone offered equity to get free rent? Can it cause problems later down the road?
- chiffonade 18y agoFor fuck's sake, equity is not cash, stop using and thinking about it like cash. And what kind of landlord would even go for this? Mortgages can't be paid in equity, either.
- mixmax 18y agoIf someone is willing to buy your equity it's as good as cash. You do need a buyer for it though...
- chiffonade 18y ago> If someone is willing to buy your equity it's as good as cash. Which means it isn't cash.
- noodle 18y agoif the arrangement works for all parties involved, why not? get it in contract form.
- pg 18y agoDuring the Bubble in the late 90s (funny one now has to specify) some commercial landlords used to get paid partially in warrants, which are basically the corporate equivalent of stock options. It's not so common now, though, and it wouldn't be a good plan for a very small startup anyway, because landlords would have no idea how to value you.
- byrneseyeview 18y agoI've heard many people say this happened, but very few examples (besides Paypal). Are there any other examples?
- pg 18y agoI think most of the time the landlords lost. That's why they don't do it anymore.
- enduser 18y agoIt works better the other way around: buy something and rent it out to get free equity.