A home equity investment (HEI) turns part of your home equity into cash right now, and the company earns a stake in what your home is worth down the road. It is not a loan, so nothing is billed monthly and no interest builds up. What you give up is a slice of the future value, which makes the real question whether that trade suits you.
Our top pick for most homeowners
Up to $600K, nothing due monthly, 10-year term
Free to check, with a soft credit check that does not affect your score. Hometap is available in 26 states, so not every homeowner will qualify. Not in a Hometap state? Scroll to the state checker below.
What is the catch with a home equity investment?
Fair question, and it is better to hear the answer first. Every company here works the same basic way, and these are the trade-offs that come with it.
Read this before you apply
- You share the future value of your home. If prices rise a lot, what you settle could be much higher than a fixed-rate loan would have cost.
- There is a settlement day. The settlement date arrives when you sell, refinance, or the term runs out (10 years at some companies, up to 30 at others). Plan for it from day one.
- Eligibility is narrow. Each company serves only certain states, sets its own credit floor, and, among other qualifying criteria, requires a home located in an eligible state that meets its value rules.
- Fees and costs come on top. Every company charges a fee, and appraisal, title and recording costs are extra.
- It does not help if you want to sell soon. An HEI is built for owners who plan to stay put for years.
Which home equity investment company fits you?
Tap the line that sounds most like your situation. Each pick is a starting point, since your own offer decides the real numbers.
You plan to stay 5 to 10 years
Hometap had the lowest total to exit at year 5 and at year 10 in the example further down, and it publishes a written cap of 18.5% annually, compounded monthly.
You might sell within about 3 years
Unison had the lowest total at year 3, because it shares in appreciation instead of full home value. It has no ongoing cap, so it climbs to the most expensive here by year 10.
Your credit score is under 575
Point, Splitero, Unlock and Nada all start at a 500 score. Point reaches the most states, so check it first.
Your income is hard to document
Splitero never checks income or employment, and Unlock works the same way, which is where an HEI beats a HELOC.
You want the longest runway
Point lets you stay up to 30 years and buy back your equity whenever you choose. Unison also runs 30 years.
Your home is in a trust or LLC
Splitero is the only company in this comparison that will look at homes held that way.
You own a second home or a rental
Unlock lists second homes and investment property as eligible. Nada does too, with a 720 score and a $100,000 cap on investment property.
You live in Arkansas, Louisiana or Oklahoma
Nada is the only company in this comparison that serves all three.
Can you get one in your state?
Location rules out more people than credit does, so check this before you read further.
- Hometap
Point
Unison
Splitero
Unlock- Nada
Pick a state to see which companies list it.
Coverage is uneven. Point reaches the most places, 30 states plus D.C., though it serves select regions and availability can vary by county. Hometap and Unlock each list 26 states (Unlock has paused Michigan for now), Unison 22 plus D.C., Splitero 17 and Nada 12.
How does a home equity investment work?
- You get cash. One lump sum, yours to spend on whatever you need. Your existing mortgage and your title stay where they are.
- You keep living in the home. There is no monthly bill to the company, and you remain the owner.
- You settle later. Once you sell, refinance or hit the end date, you settle the investment: the original amount plus the company’s agreed share of your home’s value at that point.
That last step is where the cost lives. With nothing billed each month, the price shows up through the share you give up, so a fast-rising home value means a bigger settlement and a flat or falling one means a smaller one.
How do the six companies compare side by side?
| Company | Amount | Min. credit | Term | States | Income |
|---|---|---|---|---|---|
Hometap | $15K to $600K | 575 | 10 years | 26 | No income requirement |
 Point | Up to $600K* | 500 | Up to 30 years | 30 + D.C. | No income requirement |
 Unison | $30K to $500K** | 620 | 30 years | 22 + D.C. | Debt-to-income guidelines apply |
 Splitero | Up to $600K | 500 | Not published | 17 | No income or employment check |
 Unlock | $30K to $500K | About 500 | 10 years | 26 | No income or employment check |
 Nada | $20K to $600K | 500 | 10 years | 12 | No minimum income |
All six charge no monthly payment, and all six offer a soft credit check for your estimate. *Point caps scores under 600 at $500K. **Unison invests the lesser of $500,000 or 15% of your home’s current value, with a $30,000 minimum, and its equity share varies by circumstances.
What will each company really cost you?
Here is one house run through every company’s published terms: a $500,000 home, $50,000 in cash (10% of the value) and a home that grows 4% a year. Each total is the fee plus what you would settle on the day you exit.
| Company | Fee | Exit in year 3 | Exit in year 5 | Exit in year 10 |
|---|---|---|---|---|
Hometap | 4.5% ($2,250)* | $88,979 | $102,624 | $135,472 |
Unison | 3.9% ($1,950) | $86,923 | $105,281 | $157,999 |
Unlock | Up to 4.9% ($2,450) | $88,634 to $92,839 | $111,949 | $135,672 |
Nada | 4.9% ($2,450) | $88,828 to $93,080 | $114,990 | $139,373 |
Splitero | 4.99% ($2,495)** | At most $87,927 | $124,160 | $150,519 |
Point | Up to 4.9% ($2,000 min.) | Not published | Not published | Not published |
*Hometap’s fee is deducted from your investment proceeds rather than paid upfront. **Splitero sets your share when it makes your offer, so its row assumes a 20% share, the same share Splitero uses in its own pricing example for 10% cash. Point does not publish its share or cap percentage, so its cost cannot be calculated. Ranges appear where a company does not say how its cap compounds. Third-party closing costs such as appraisal, title and recording are extra for every company. Green marks the lowest total in a column.
Three lessons come out of that table. The fee is the small part: all six sit within about $550 of each other on $50,000. How long you stay matters most, because Unison is cheapest early and Hometap is cheapest later. And Hometap, with a written cap of an 18.5% annual rate compounded monthly, has a ceiling on what it can earn, while Unison does not. Whichever you pick, ask for what you would settle in years 3, 5 and 10 at today’s home value before you sign.
Which company is best for what?
Here is each company on its own, in the order we would check them for a typical homeowner.
#1 · Top pick
Hometap: a big payout and a clear settlement window
- Amount$15K to $600K
- Credit575 and up
- Term10 years
- States26
Best for: Homeowners who meet the 575 credit floor, live in one of its states and want a big payout with a defined end date. Hometap reports more than $2 billion invested across 25,000+ homeowners.
How it works: You receive a lump sum with nothing due each month. Hometap’s share is set by a multiplier: 1.65x the percentage of your home’s value you access if you settle in years 0 to 5, and 1.8x in years 6 to 10. Access 10% and Hometap could earn a 16.5% or 18% share of your home’s future value. Equity you add through upgrades is left out of its share, and you can settle early with no prepayment penalty. Because it is not structured as debt, it does not affect your debt-to-income (DTI) ratio.
The catch: Only 26 states. Among other qualifying criteria, Hometap looks for at least 25% equity in your home, and the money could take 3 or more weeks to arrive. Plan your exit, since the term is a fixed 10 years.
#2 · Widest reach
Point: low credit scores and the most states
- AmountUp to $600K
- Credit500 and up
- TermUp to 30 years
- States30 + D.C.
Best for: Homeowners whose credit rules out Hometap or whose state is not on the other lists. Its 500 floor ties the lowest here.
How it works: No income requirement and no monthly payments. You pick when to exit and can buy back your equity at any time with no prepayment penalty. Scores under 600 are capped at $500K. Point shares in appreciation, and it also shares in a loss if your home falls below its starting value.
The catch: Availability varies by county inside the listed states, and Point needs an appraisal or automated valuation. If values climb, sharing the gains can cost more. Its share and cap are not published, so compare the offer you receive.
#3 · Longest term
Unison: a 30-year term and downside sharing
- Amount$30K to $500K
- Credit620 and up
- Term30 years
- States22 + D.C.
Best for: Owners planning to stay for the long haul who value a long runway. Unison has been in this category since 2006.
How it works: Unison invests the lesser of $500,000 or 15% of your home’s current value. There are no monthly payments or interest, no prepayment penalty, and Unison shares in depreciation, so you could settle for less if your home loses value. The origination fee is about 3.9%, and it applies a 5% discount to your home’s starting value.
The catch: It has the highest credit floor here at 620, and it applies debt-to-income guidelines, so it is the one company that does not skip the income check. The equity share formula is complex and it may complicate a future refinance.
#4 · Easiest on income
Splitero: no income check, trusts and LLCs welcome
- AmountUp to $600K
- Credit500 and up
- TermNot published
- States17
Best for: Self-employed owners and anyone who cannot document income or employment, or whose home sits in a trust or LLC.
How it works: You can access up to 25% of your home value, capped at $600,000. Splitero will take a junior position behind your mortgage, or first position if you own outright. The fee is at most 4.99% and your share is set when it makes your offer. It publishes a 17.99% annual cap, the lowest written cap we found.
The catch: Just 17 states, and most of them are also served by Point, so price both. Splitero does not publish a contract term, and the home must appraise between $200,000 and $5,000,000.
#5 · Easiest approval
Unlock: approval is the hurdle, not the amount
- Amount$30K to $500K
- CreditAbout 500
- Term10 years
- States26
Best for: Homeowners who keep getting turned down, those with income that is hard to show, and owners of a second home or rental. In Vermont it is the only option on this page.
How it works: There is no income or employment check at any point, and a soft credit pull lets you see a number without affecting your score. The origination fee is around 4.9% before appraisal and closing costs.
The catch: The 10-year window is fixed, so you may have to exit in a weak market. The $500,000 ceiling is below Hometap and Point, and Michigan is paused for now.
#6 · Niche coverage
Nada: the only option in Arkansas, Louisiana and Oklahoma
- Amount$20K to $600K
- Credit500 and up
- Term10 years
- States12
Best for: Owners in AR, LA or OK, where nobody else here operates, and anyone with a second home or investment property.
How it works: Nada funds up to $600,000 or 30% of your home value, with no minimum income and no asset requirement. It can sit behind your current mortgage as a junior lien. The fee is 4.9%. Investment property needs a 720 score and is capped at $100,000.
The catch: It operates in only 12 states with no D.C., the term is 10 years, and your home must appraise at $175,000 or more. If your state is served by the others, start with them.
Should you choose an HEI or a HELOC?
If you can show steady income, price a HELOC too. It is often the cheaper route over time and you keep all of your home’s appreciation.
| HEI | HELOC | Home equity loan | |
|---|---|---|---|
| Monthly payment | None | Yes | Yes |
| Interest | None | Yes | Yes |
| What you give up | A share of future value | Interest cost | Fixed payments |
Who should skip a home equity investment?
It could fit if you
- Need cash without adding a monthly bill
- Plan to stay in the home 5 years or more
- Want to keep your current mortgage
- Have credit below what a HELOC asks for
Skip it if you
- Plan to sell soon
- Live in a fast-rising market
- Expect to refinance soon
- Want to turn the home into a rental
Common questions about home equity investments
Is a home equity investment a loan?
No. You receive cash now and settle later, when you sell, refinance or reach the end of the term, by giving the company its agreed share of your home’s value. Because of that there is no monthly payment and no interest. If you searched for an “HEI loan,” this is the product you mean.
What credit score do I need?
Point, Splitero, Unlock and Nada start at about 500, Hometap at 575 and Unison at 620. Checking your estimate with any of them uses a soft credit pull, so comparing offers does not affect your score.
Can I qualify without income?
Often, yes. Hometap, Point and Nada list no income requirement, while Splitero and Unlock skip the income and employment check. Unison is the exception because it applies debt-to-income guidelines.
How much cash can I get?
Between $15,000 and $600,000 depending on the company, your home’s value and where you live. Unison is capped at $500,000 or 15% of your home’s value, whichever is less, and Splitero allows up to 25% of value. Your own offer sets the real figure.
Does it work for a second home or rental?
It depends on the company. Unlock and Nada list second homes and investment property as eligible, and Nada requires a 720 score and caps investment property at $100,000. Hometap lists investment homes, condos and multi-family. Splitero will look at homes held in a trust or LLC. Confirm eligibility when you apply.
What happens when I settle?
You settle the investment on the day you sell, refinance or reach the end of the term. The amount is the original cash plus the company’s agreed share of your home’s value then. Hometap, Unison and Point all let you settle early without a prepayment penalty.
What if my state is not covered?
Use the state checker above. If none of the six list your state, a HELOC may be the closer fit, and coverage changes over time so it can be worth checking again later.
MoneyAnswers may receive compensation from some of the companies listed, which does not change the order or what we say about them. Figures come from each company’s published terms and can change, so confirm details with the company before you apply. This page is general information, not financial advice.
