If the property price increases during the partnership, who benefits? | Ask Banky

Editor-in-Chief Mohamed Salah

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Editor-in-Chief Mohamed Salah

If the property price increases during the partnership, who benefits?

Asked by Banky team 2 months ago
Banky team Reviewed editorial answer

The increase in asset value is linked to ownership and the terms of the sale or exit structure, not simply to interest calculated on financing.

Before entering into a real estate partnership, ask what happens if you sell the property before the end of the term, and how each party's share is calculated then, instead of assuming all the increase is yours.

The figures, fees and limits in this answer vary by bank and change over time — confirm them with your bank or the official source before acting.

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