Architect Korman Homes takes on Airbnb to make a residential mortgage service more affordable
Korman Properties, the developer behind two large-scale projects in Atlanta, has taken a fresh approach to building its new residential mortgage services.
Instead of selling off a portion of a home to make its service more appealing, Korman has instead started offering it at a discount to its existing residential mortgage loan customers.
The new service, which will be available in Atlanta from the beginning of January, will be sold as a new type of mortgage service called “rental mortgage.”
The company said that this new service will offer low-cost rental mortgage loans, but will only be available to renters who live in Atlanta’s suburbs.
That means it will offer a loan that would cost $3,000 to $7,000 per month, or $200 less than a traditional mortgage, according to the company’s press release.
In addition, Kondo said that it will only provide these loans for a minimum of two years, which is not available to all renters in Atlanta.
“We are excited to offer a service that allows our customers to build and preserve their own home, instead of having to buy a home for their family, as they often have to do when buying a home,” said Paul M. Kondo, founder and CEO of Kondo Properties.
“We believe that this type of affordable mortgage service will be a huge boon to homeownership and will encourage people to be more financially secure in their home purchases.”
Kondo Properties is partnering with a group of Atlanta-based community groups to sell this new residential service.
The group is called the Atlanta Renters and Mortgage Access Committee, and they will be purchasing properties at their own expense.
According to Kondo’s press releases, this new rental mortgage service is being launched by the group “to provide homeowners with affordable, affordable mortgage loans that provide them with the financial stability they need to purchase and preserve an asset they’ve always dreamed of owning.”
Korman Properties announced that it is selling all of its properties to the committee on Jan. 20.
This comes on the heels of Korman’s announcement last week that it would be closing the Atlanta offices of its real estate investment and real estate advisory firm.
In April, Kondos founder announced that he was stepping down from his leadership role at Kondo after a five-year tenure.
Kondo has also announced that Kondo will be buying back up to 10 percent of its outstanding residential mortgages, as well as all of the loans in the group that are currently being sold, in a process that is expected to take six months.