Price Gap Agreement
Unlocking Homeownership for America's Missing Middle
Capital Campaign: $300,000
The Opportunity
76 million Americans can no longer afford to buy a home. Middle-income families earning 80–120% of area median income face a $55,000–$135,000 gap between what they can afford and market prices. The Price Gap Agreement (PGA) bridges this gap with an innovative equity instrument: when a family qualifies for a $300,000 mortgage on a $400,000 home, the PGA provides the missing capital as a second lien. Buyers contribute 3% down, make no monthly PGA payments, and repay at sale or refinance with modest IRS-based interest (4–5%). Every PGA-financed home includes energy-efficient systems and renewable energy—addressing both housing affordability and climate resilience.
Your Contribution: $300,000
This campaign funds essential development work to launch the PGA in partnership with Second Muse Capital:
- Legal and financial structuring: Finalize PGA documentation, second-lien agreements, and IRS compliance
- Investor offering materials: Prepare documents to raise $100–250M for proof-of-concept deployment
- Stakeholder engagement: Convene developers, lenders, housing advocates, and buyers to refine the instrument
- Knowledge dissemination: Share learnings with other regions and potential partners
Leadership
Kevin Howard is a former commercial banker who witnessed the 2008 financial crisis from the inside. Kevin experienced a profound transformation—recognizing that true prosperity comes not from individual accumulation but from shared abundance. Kevin brings 25 years of experience crafting financial instruments, now redirected toward community wealth-building. He now applies his financial expertise to design instruments that help communities pool resources and build collective wealth, turning isolated families into connected neighbors who thrive together. Kevin serves as a climate consultant and housing advisor in Oregon, previously serving as VP of the Board at Rooted Homes, a nonprofit green certified homebuilder, and appointed to the state's Equity Advisory Committee overseeing the Oregon Climate Protection Plan for the Department of Environmental Quality.
Second Muse Capital's team combines finance, inclusive economic design, and 17 years of high value experience raising capital for underserved communities in the United States and abroad.
Path to Scale & Impact
Scaling Phases | Projected Impact |
Phase I: 1,000–2,500 homes, up to $250M ('Proof of Concept' phase) Phase II: State-wide (OR example: 38,000 families/year, $4B via Sustainable Debt Market) Phase III: National expansion with federal guarantees (similar to the SBA 504 Loan Program) | • Makes sustainable, affordable homes available in the U.S. • Relieves inflation pressure on rental housing market • Homeowner equity: up to $190K+ (10 yrs) • Climate-adapted homes with energy efficient HVAC and renewable energy electricity. |
Join us in unlocking homeownership for America's missing middle.
