Practical Financing Options that Can Improve Affordability and Expand Buying Power
For many people, the idea of purchasing a home can feel out of reach—especially when buying on a single income. Rising home prices, higher interest rates, and stricter lending requirements have made traditional homeownership more challenging. The good news is that when buying alone feels impossible, there are financing options like co-ownership that can help.
Co-Ownership: Buying Together, Intentionally
One increasingly common option is co-ownership, where two (or more) people purchase a home together and share both ownership and responsibility—without needing to be married or related. Friends, siblings, partners, or intentional living arrangements can all qualify. Each buyer is listed on both the loan and the deed, often with a clear ownership structure such as 50/50.
This approach can:
- Increase overall purchasing power
- Reduce the financial burden on each individual
- Make higher-quality homes more attainable
- Align well with shared living or community-focused lifestyles
For those already interested in shared living or multigenerational households, co-ownership can be a natural and practical fit.
Using Rental Income to Help Qualify
Another powerful option is leveraging rental income from a portion of the home. Many homes today are designed with flexible layouts—such as accessory dwelling units (ADUs), or spaces with private access—that can generate rental income. In many cases, this income can be used to help qualify for a mortgage on Conventional and FHA loans. An appraiser determines the fair market rent for that portion of the home, and that projected income may then be factored into the loan application.
This strategy can:
- Improve mortgage qualification
- Offset monthly housing costs
- Support long-term affordability
- Make flexible layouts even more valuable
For buyers who plan to host guests, rent to a long-term tenant, or create a semi-independent living space, this option can significantly expand what’s financially possible.
A Real-World Example: Designing for Shared Living and Affordability
A perfect example of how thoughtful design supports affordability is The Blue Ridge at Sanctuary Village. This home features three private bedrooms, each with its own en-suite bathroom, creating a layout that naturally supports shared ownership or income-producing arrangements while preserving privacy and comfort. Each resident has their own dedicated space, making it well suited for two or three individuals buying together, multigenerational living, or a combination of owner-occupancy and rental use. The balance of shared common areas and private suites allows residents to live independently within a shared home—an ideal configuration for co-ownership or for generating rental income that can help offset monthly housing costs.
Developer Financing as Another Affordability Example
Affordability may also be supported through developer financing on homesites, which in some communities allows buyers to purchase land separately from the home itself. This approach can offer added flexibility in timing and budgeting, particularly for buyers who plan to build in phases or explore alternative financing for construction. In communities like Sanctuary Village, developer financing on select homesites is one way this option may be structured. Availability and terms vary, and this path is not appropriate for every buyer; therefore, buyers should consult local financing professionals and legal advisors to understand how it may apply to their situation.
A More Flexible Approach to Homeownership
These alternatives reflect a broader shift in how people think about homeownership today. Buying a home no longer has to mean doing it alone or fitting into a single traditional model. With the right guidance, buyers can explore creative, responsible solutions that align with their financial reality and their lifestyle goals. Working with an experienced local lender who understands co-ownership structures and rental income qualification is an important step. The right guidance can help buyers understand their options clearly and move forward with confidence.
Homeownership may look different than it once did—but for many, these alternative paths are exactly what make it possible.
Learn More About Your Options
If you’re interested in learning more about Sanctuary Village homes or exploring alternative paths to homeownership, we invite you to reach out. We’re happy to share more about our zoning overlay that provides flexibility, and connect you with a trusted local lender who can help you better understand financing solutions such as co-ownership and rental income qualification.
Disclaimer
This content is provided for general informational purposes only and does not constitute legal, financial, or lending advice. Financing options, eligibility requirements, ownership structures, and the use of rental income vary by lender, jurisdiction, and individual circumstances. Readers should consult qualified local lenders, financing professionals, and real estate attorneys for guidance specific to their situation before making any decisions.