Home Diversification Corp.
, a startup fintech based in Manchester, N.H., has launched a consumer division called “Diversify My Home,” and announced the presales of its signature product, the Home Diversification Agreement (HDA).
According to the company, HDA is a mortgage enhancement product that can be purchased during or after the mortgage origination process. The HDA is recorded as a junior lien on the property, with the goal of ensuring the value of the property itself versus the mortgage. The company added that the HDA enables homeowners to exchange their local-market home price index for a broader nationwide index, resulting in a reduced threat of home price value risk or even foreclosure.
“The decision to purchase a home is one of the biggest and most nerve-racking for anyone,” said Marc Biron, Home Diversification Corp. founder and chief executive officer. “Even more today, given the still-prevalent memories of the 2008 to 2012 meltdown period. Unfortunately, there's no crystal ball to inform them what lies ahead. An HDA allows them to make that purchase with peace of mind. Going forward, we believe that just as consumers purchase home insurance to ensure against fire and other perils, they will obtain an HDA to protect the precious equity they've built in the homes.”