The New "Crypto Mortgage"
✉️ Want to forward this article? Click here.
While some homebuyers are selling cryptocurrency investments in order to make a down payment on a home, a tech company wants to offer investors the best of both worlds.
On Tuesday, Milo announced the release of what it is terming "the world’s first crypto mortgage", enabling mortgage applicants to qualify for and finance purchase of homes in the United States by leveraging their Bitcoin portfolio.
story continues below
loading...story continues above
Applicants would be able to use Bitcoin to qualify for a long-term mortgage by pledging, not selling, a certain amount of their Bitcoin wealth. The more Bitcoin the individual pledges, the lower their interest rate would be. Bitcoin can be used to finance up to 100% of the purchase price of the home.
Throughout the life of the mortgage, the borrower can make their monthly payments using Bitcoin, regular money, or a stablecoin cryptocurrency that is tied to the value of the U.S. dollar. However, the pledged Bitcoin will be stored by a third party, so it will not function as a liquid asset. If the value of the cryptocurrency takes a nosedive, the borrower would likely have to pledge more Bitcoin or "liquidate some of those assets" as a last resort, according to Milo founder Josip Rupena.
"The existing ways for crypto consumers to access home credit has left them with unintended tax liabilities of selling for a down payment or worse the opportunity cost of seeing their crypto increase in value," Rupena said in a statement. "There are countless stories of people buying property with bitcoin proceeds only to see it increase in value and be worth millions more. We have an opportunity to make sure that doesn’t happen anymore and their bitcoin wealth can now help them buy a property.”
A waitlist is currently open.
See other articles related to: bitcoin, crypto mortgage, cryptocurrency, homebuying, mortgages, real estate technology
This article originally published at https://dc.urbanturf.com/articles/blog/the-new-crypto-mortgage/19153.
Most Popular... This Week • Last 30 Days • Ever
![Buying with Friends: What You Should Know](https://assets.urbanturf.com/dc/images/blog/2010/05/home_value.jpg)
Here are some precautions to take before buying real estate with a buddy.... read »
![$10 Million McLean Home Of Former Nationals Star Stephen Strasburg Finds a Buyer](https://assets.urbanturf.com/dc/images/blog/2024/09/resized/VAFX2180246_45_0_image_560x420.jpg)
The six-bedroom home listed for just south of $10 million back in June went under con... read »
![16-Story, 325-Unit Building Pitched For Arlington's Wilson Boulevard](https://assets.urbanturf.com/dc/images/blog/2024/09/resized/2500-wilson-1_image_560x420.jpg)
The new project will take the place of an obsolete office building in Courthouse.... read »
![Mayor Bowser Announces First Office-To-Residential Projects To Receive Tax Abatements](https://assets.urbanturf.com/dc/images/blog/2024/09/resized/1625-mass-1_image_560x420.jpg)
The three office-to-residential conversion projects have been conditionally awarded t... read »
![500 Apartments, Live/Work Units And A Park: The New Plans Coming To St. Elizabeths](https://assets.urbanturf.com/dc/images/blog/2024/09/resized/parcel-6-park_image_560x420.jpg)
The plans for one of the final parcels at DC's St. Elizabeth's East campus are beginn... read »
- Buying with Friends: What You Should Know
- $10 Million McLean Home Of Former Nationals Star Stephen Strasburg Finds a Buyer
- 16-Story, 325-Unit Building Pitched For Arlington's Wilson Boulevard
- Mayor Bowser Announces First Office-To-Residential Projects To Receive Tax Abatements
- 500 Apartments, Live/Work Units And A Park: The New Plans Coming To St. Elizabeths
DC Real Estate Guides
Short guides to navigating the DC-area real estate market
We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Start browsing below!
First-Timer Primers
Intro guides for first-time home buyers
Unique Spaces
Awesome and unusual real estate from across the DC Metro