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description: This page covers the Stable, a financial infrastructure builder
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# Stable

Stable erases the line between assets and liquidity by minting a stablecoin (USDS) against real estate equity, allowing owners to spend or lend their liquidity.

[$USDS](#usdr) and [$USDW](#usdw), USD-pegged stablecoins, are the flagship products of Stable. Both coins are backed by a strong set of assets including US Treasuries, mortgages, and liens.

_This page is accurate as of August 2024, for the latest on Stable, please check out_ [_these docs_](https://docsend.com/view/3gv5ayjgg847mm3j)_._

## USDS

USDS is a USD-pegged stablecoin that is lent against real assets like single family homes or other US, UK, and EU-based properties. Owners can borrow against the value of their property.

#### How Does USDS Work?

USDS is minted against the US Dollar value of real estate assets. Anyone with a mortgage or equity in a US, UK, or EU based property can create a Stable Account. Once a Stable Account has been made, USDS can be minted against the value of assets held by that Account.

* [ ] A home or CRE property is represented onchain via an appraisal
  * [ ] Or via an existing mortgage (within 3 years)
    * [ ] ZK proofs are used to prove the value of each property
* [ ] USDS stablecoins are minted in a set amount of the USD value of the property
  * [ ] Maximum 80% LTV (liquidity-to-value)
* [ ] USDS can be borrowed by the owner
  * [ ] Or lent to other borrowers
* [ ] Interest and repayment is made on borrowed USDS&#x20;
  * [ ] Mortgage and other loans are liquidated to Fannie Mae or Freddie Mac where applicable
  * [ ] Cash from repayment / payments is used to add additional backing to USDS
    * [ ] If the repayment schedule is not met, legal action ensues according to local law

### Why Consumers Love Stable

The average monthly payment on a new 30-year mortgage issued in the United States has [increased by 84% over the last 5 years](https://x.com/gumdropsteve/status/1814071668421324908). Depending on your source, the median purchase price of a US home is now $420,000 to $490,000, and the median monthly mortgage payment is $2,100 to $2,900.

So the house that was $1,100 a month is now $2,100. _That's a hard gap to fill for a lot of people..._

Not only is housing becoming more expensive, the cost of borrowing cash to purchase housing has risen so much over the past few years that the current decline to 15-month low mortgage rates is over 200% higher than the 36 month low. This further increases the price of housing each year.

<figure><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXfdTwqoLaSepyx6xq9-qK-qZbS6jQ4dfwGjlWBGRljtgcIZMlUfMqyHDnOfJrprDjvmphw9y1eqrTIaHlvaigIRhaALLZwm6A7ckq3Umg3zsPC1ltd7Bf5ZucUQDi4Tvb5X6Xrhpx_hxBR0gsusxyZ5Wfqj?key=HIl7MAoDIqKvUXbX5Jktdg" alt=""><figcaption></figcaption></figure>

Stable dials back this detrimental inflation and saves **the average US household up to $1,000 per month on those payments** by offering loans that start at  4% APR. Stable is able to offer those rates by minting USDS against the US Dollar amount of the mortgage loan.&#x20;

## USDW

USDW is a USD-pegged stablecoin backed by US Treasuries.

USDW can be minted by depositing dollars or a number of crypto assets including BTC and ETH.

