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Property Ownership Share Calculator

Compute real estate equity split between partners based on down payments, mortgage contributions, and renovation costs over time.

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Category Valuation & Analytics

Contribution Ledger

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    About

    Joint property ownership often involves unequal financial contributions. One partner might provide the down payment while another covers monthly mortgage installments or funds a major renovation. This calculator determines the fair equity percentage for each owner based on actual cash invested. It functions as a financial ledger, summing initial capital, ongoing payments, and value-add expenses. Accurately tracking these metrics is vital for creating a fair buyout agreement or distributing proceeds upon the sale of the property.

    real estate equity joint tenancy partnership investment ownership split

    Formulas

    The ownership share S for Partner A is the ratio of their Total Contributions (C_A) to the Total Investment (C_total).

    S_A = C_AN∑i=1 C_i × 100

    Where C_A includes:

    C_A = D_A + P_A + R_A

    (D: Down payment, P: Principal payments, R: Renovation/Capital Improvements).

    Reference Data

    Contribution TypeEquity Impact?Notes
    Down PaymentYESDirect purchase of equity.
    Mortgage PrincipalYESBuys equity over time.
    Mortgage InterestNOUsually considered a holding cost (rent equivalent).
    RenovationsYESIncreases property value/basis.
    Property TaxesNOMaintenance expense, rarely adds equity.
    UtilitiesNOConsumption expense.

    Frequently Asked Questions

    Generally, no. Interest, taxes, and insurance are considered "carry costs" - the price of using the property. Equity is usually calculated based on capital that reduces debt or increases value.
    Labor (DIY renovations) is difficult to quantify. Partners should agree on a fixed monetary value for the labor beforehand and enter it as a "Renovation" financial contribution to ensure fairness.
    No. The percentage split is based on contribution. If the house doubles in value, the partners still split the proceeds according to their contribution percentages.