Please point to the place where it says that it would allow a home buyer to get into a home for less money. The way I read it, the new buyer would pay the whole amount, and then pay 1% more when he sells the property, and it would go to the builder. Otherwise, the builder would get LESS money until the home is re-sold. If I misread something, please show me just where it was printed.
Note: I am not a lawyer, nor is any member of my family a lawyer, but I strongly urge people to be represented by a lawyer who specializes in real estate practice BEFORE they sign anything on a home purchase, even the orignial offer which usually merely includes a small amount of money to “hold” the sale until final papers are signed.
The article did not specifically mention the sales price might be reduced as an incentive to accept this 1% fee. But to me, this makes sense as a marketing ploy.
If I were a greedy developer seeking to prey on unsuspecting dummies, I’d emphasize how I’m lowering the sales price!
(Only to make a 1% profit years later when they sell the home.)