Best Home Equity Agreement (HEA) and Investment Companies

A home equity agreement (also called a home equity investment or shared equity agreement) lets you access your home’s value without taking on new monthly debt. Instead of paying interest, you give the company a share of your home’s future appreciation in exchange for upfront cash.

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What is a home equity agreement (HEA) or investment?

A home equity agreement, aka home equity investment or HEA loan, lets you convert a portion of your home’s equity into cash without taking on new monthly payments. Instead of interest, you agree to share a percentage of your home’s future value with the investment company.

These agreements are also known as home equity sharing, shared equity, or home equity investment contracts. They fall between a traditional loan and an investment, offering flexible access to your home’s value.

Quick comparison:

Feature	HEA	HELOC / Home equity loan
Monthly payments	None	Required
Credit score	500+ often accepted	620+ typical
Ownership	Shared with investor	Fully retained
Repayment	When you sell or buy back	Monthly + interest

Best home equity investment companies in 2025

We believe the best home equity sharing companies offer excellent terms, reliable financial support, and a consistent customer experience. Here’s why we made our selections.

• Best overall: Hometap
• Best for partial payments: Unlock
• Best for longer terms: Point

Hometap

Best Overall

4.8 _/5

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Why Hometap is one of the best

Offers one of the widest funding ranges and quick funding (about three weeks). Excellent Trustpilot rating (4.9/5). Shares in appreciation and depreciation, helping reduce downside risk.

Founded in 2017, Hometap wants to make homeownership less stressful and more accessible. It can provide a financing solution to homeowners with credit scores as low as 550 in as little as three weeks.

• Great customer reviews: Hometap has an excellent rating of 4.8 out of 5 on Trustpilot from 5,641 customers as of October 28, 2025.
• No monthly payments: Since Hometap invests in your home, you won’t make monthly payments.
• Funds can be used on anything: No restrictions on how you use the cash you receive.
• Widest funding range: Hometap offers the smallest investment amount ($15,000) and the largest ($600,000).
• Shares in future depreciation: Hometap will make money if your home appreciates during the term. If your home depreciates, Hometap will share in that loss.
• Lenient financial requirements: No income requirements, and Hometap accepts a broad range of credit scores, with a minimum of 550.

• Cash value is lower than exchanged equity: Hometap receives a percentage of your home’s equity that ranges from 1.5 to 2 times the original equity stake, depending on how long you hold the investment.
• Only available in 16 states: Arizona, California, Florida, Michigan, Minnesota, New Jersey, New York, Nevada, South Carolina, Ohio, Oregon, Pennsylvania, Virginia, Utah, and Washington.

Funding	$15,000 – $600,000
Term length	10 years
Credit score	550
Prequalify	Get an estimate in just 60 seconds

What to keep in mind

Hometap accepts homeowners with a minimum credit score of 550. No income requirements apply, and you can get an estimate without a hard credit check.

Stipulations may apply if you live in a flood zone. Hometap offers equity-sharing agreements to homeowners who live in floodplains, but only if they have appropriate flood insurance. Manufactured homes in flood zones are ineligible for a Hometap equity sharing agreement. 

Application process

You could receive funds in just four steps:

1. Fill out a quick online form that will prequalify you and provide an estimate of how much money you’re eligible for.
2. A dedicated Investment Manager is assigned to your account to answer any questions you may have. 
3. If you agree to the terms in the estimate, a home appraisal is scheduled to determine the final terms of the agreement. 
4. You’ll sign the final offer and get your funds within a few days of closing.

Unlock

Best for Partial Payments

4.7 _/5

Free Quote

Why Unlock is one of the best

The only HEA company allowing partial buyouts, so you can gradually repurchase your equity. Accepts lower credit scores and recent financial recovery situations.

Founded in 2020, Unlock employs a team of experienced home equity agreement professionals who strive to help homeowners tap the equity in their homes to get the cash they need.

It accepts partial buyout payments, a feature other equity-sharing companies don’t offer.

Unlock makes money if your home appreciates during the equity sharing term; should the home depreciate instead, Unlock shares in the loss.

• No monthly payments: You can buy out Unlock’s position any time before the end of the term.
• Funds can be used on anything: No restrictions on how you use the cash you receive.
• Partial buyout payments: Unlock is the only company that lets you buy out its position with partial payments throughout the term.
• Shares in future depreciation: If your home value decreases, Unlock will share that loss.
• Lenient financial requirements: No income requirement for credit scores above 550, poor credit is accepted, and accepts bankruptcy resolved over 5 years ago.

• Cash value is lower than exchanged equity: Unlock receives a percentage of your home’s equity valued higher than the cash you receive.
• Only available in 13 states: Arizona, California, Florida, Michigan, New Jersey, North Carolina, Oregon, Pennsylvania, South Carolina, Tennessee, Utah, Virginia, and Washington.

Funding	$15,000 – $500,000
Term length	10 years
Credit score	500+
Prequalify	Get an estimate in just 60 seconds

What to keep in mind

Unlock looks for a minimum FICO credit score of 500. Income verification may be required if your score is below 550. Its investments are available for most residential real estate (single-family, condominiums, 2- to 4-unit properties, and townhomes), including owner- and non-owner properties.

You won’t be eligible if you have a bankruptcy, foreclosure action, short sale, or deed in lieu within the previous five years or have any 90-day mortgage delinquencies within the prior 24 months.

You’ll need to maintain hazard insurance equal to the replacement cost of your home during the 10-year term. Unlock must be named on all property insurance policies as a “mortgagee” or “additional interest.” If approved, you will receive funding within 30 to 60 days.

Application process

You can get an initial cash estimate in just 60 seconds by completing an online form. If you like the terms outlined, complete an application and schedule a call with a representative who will walk you through your Investment Estimate.

If you accept the terms, an appraisal will be done to determine the value of your home for the Investment Closing Statement. Once the final documents are signed, the funds will be wired to your account.

Point

Best for Longer Terms

4.6 _/5

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Why Point is one of the best

Longest term available, giving homeowners extra time before repayment. Accepts a wide range of property types and shares in depreciation if your home’s value drops.

Founded in 2015, Point was built after its team members experienced firsthand the frustrations of homeownership and debt financing. It’s one of the best because it’s available in more states than our other picks, and it’s the only one that made our list with a 30-year term.

A longer term could be beneficial if you want to spend more time stabilizing your financial situation to pay off debts before refocusing your efforts on setting aside the necessary funds to buy out Point’s position in the home.

• No monthly payments: Since Point invests in your home, you owe nothing until the end of your term or when you decide to exit the contract.
• Funds can be used on anything: No restrictions on how you use the cash you receive.
• Shares in future depreciation: If your home depreciates, Point may share in that loss.
• Lenient financial requirements: No income requirements, and Point accepts bad credit (500 and up).

• Cash value is lower than exchanged equity: Point receives a percentage of your home’s equity valued higher than the cash you receive.
• Only available in 27 states: Arizona, California, Colorado, Connecticut, Florida, Georgia, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, Missouri, New Jersey, Nevada, New York, North Carolina, Ohio, Oregon, Pennsylvania, South Carolina, Tennessee, Utah, Virginia, Washington, and D.C.

Funding	$30,000 – $500,000
Term length	30 years
Credit score	500+
Prequalify	Get an estimate in just 60 seconds

What to keep in mind

Point looks for a minimum FICO credit score of 500. Your home must be worth more than $155,000, and you must retain at least 30% of the equity after the investment.

Investments are not offered on commercial properties, manufactured homes, modular homes, mobile homes, properties with five or more acres, properties with an LLC ownership, or co-ops. Its investment must be in at least the second lien position.

Application process

You can apply in five steps. First, you’ll fill out a prequalification form to get a cash estimate. If you’re eligible, Point will have you schedule time to speak with a member of its team who can answer any questions.

Once all your questions are answered, you’ll fill out an online application for Point to review. After Point reviews the application, a third-party appraiser is selected to determine the value of your home for the final offer.

If you agree to the terms in the final offer, you will sign the closing documents. Once you have done so, your funds will be transferred to your bank account.

How a home equity investment works

A home equity investment provides a lump-sum cash payment in exchange for a share of your home’s future value. You repay the investor when you sell your home or buy back their share.

Example

If you receive $25,000 for 20% of your equity, and your home’s value rises from $500,000 to $600,000, you’ll owe $45,000 (your original $25,000 + 20% of the $100,000 appreciation).

If your home loses value, the investor shares in that loss, reducing what you owe.

How much funding you could qualify for (and what affects it)

Home equity agreement providers determine your offer based on your property details, available equity, and financial profile. While some programs advertise funding up to $600,000, the actual amount varies from one homeowner to another.

Typical funding ranges

Most homeowners qualify for $30,000 to $300,000 through a home equity agreement, depending on property value, state availability, and the provider’s internal limits. High-value homes or low existing mortgage balances may unlock higher offers.

What influences your offer

Providers consider several factors when determining your maximum eligible funding amount:

• Your home’s current value and remaining mortgage balance: The more equity you have, the more funding you can access.
• Provider CLTV (combined loan-to-value) policies: Each company sets its own maximum CLTV limit, and eligibility varies by state.
• Term length: Longer terms (10 to 30 years) may allow for higher funding amounts.
• Credit profile: Many programs accept scores around 500 to 550+, but stronger credit can increase your available amount.
• Property use and type: Most providers invest in primary residences, though some may accept second homes or rentals.

HEA costs and fees explained

You’ll pay some upfront costs when entering a home equity agreement. These may include:

• Closing and origination fees: Around 3% to 5% of the investment amount
• Appraisal fees: $300 – $1,000 depending on your property and state
• Title and settlement costs: $800 – $1,200 typical
• Filing and recording fees: $300 – $1,000 depending on county regulations

Each company sets its own maximum loan-to-value ratio and may adjust your home’s appraised value to reduce risk.

Pros and cons of a home equity investment (HEA)

Pros

• Access cash without monthly debt payments

• Available to borrowers with fair or poor credit

• No income requirement

• Investor shares in potential loss if home depreciates

• Flexible use of funds

Cons

• You give up a share of your future appreciation

• Requires significant equity (often 20% – 25%)

• Home appraisal required

• Future costs can be unpredictable if home values rise

HEA vs. traditional home equity loans and HELOCs

Feature	HEA investment	Home equity loan	HELOC
Monthly payment	None	Fixed	Variable
Interest	None, but shares in home value	Yes	Yes
Credit needed	500+	720+ recommended	720+ recommended
Ownership	Shared	Retained	Retained
Best for	Cash without new debt	Predictable payments	Ongoing access to funds

If you qualify for a low-rate loan and don’t mind monthly payments, a traditional home equity loan or HELOC may cost less long-term. But if you’re cash-poor, credit-challenged, or planning to sell within 10 years, an HEA can be more flexible.

How to choose the best HEA company for you

Before committing, ask:

• How much funding can I qualify for?
• Does the term fit my timeline?
• What happens if my home appreciates or depreciates?
• Are there early buyout options or penalties?
• How long does it take to get funds?

Also compare online reviews, BBB ratings, and state eligibility. Our top picks, Hometap, Unlock, and Point, each offer instant online prequalification without a hard credit check.

Is a home equity investment right for you?

Best fit for:

• Retirees who need cash flow but can’t take on monthly debt
• Homeowners with limited income or credit who still have strong equity
• High-value market homeowners seeking liquidity without selling

If you plan to sell your home soon or expect significant appreciation, a traditional loan may help you retain more equity.

Home equity sharing agreements are a good option if you’re worried about qualifying for a loan and don’t want to take on monthly payments.
If you are financially able to take on debt and cover the monthly payments, a home equity loan or HELOC may be better because you’re not giving up a portion of the future appreciation in your home. Either option is a major financial decision, so I recommend consulting with a financial professional to understand how this affects your personal finances. 

FAQ

Is an HEA a loan?

Not exactly. It’s considered an investment contract rather than a traditional loan. However, it does create a financial obligation tied to your home’s value.

How long does it take to receive funds?

Typically three to six weeks, depending on appraisal speed and state processing time.

Can I refinance or sell my home after an HEA?

Yes, but you’ll need to settle the investor’s share during closing.

Do home equity investments affect taxes?

HEA proceeds are typically not taxed as income, but consult a tax advisor for personalized advice.

How we selected the best home equity sharing companies

Since 2020, LendEDU has evaluated home equity companies to help readers find the best home equity agreements. Our latest analysis reviewed 208 data points from 8 companies, with 26 data points collected from each. This information is gathered from company websites, online applications, public disclosures, customer reviews, and direct communication with company representatives.

These data points are organized into broader categories, which our editorial team weights and scores based on their relative importance to readers. These star ratings help us determine which companies are best for different situations. We don’t believe two companies can be the best for the same purpose, so we only show each best-for designation once.

Higher star ratings are ultimately awarded to companies that create an excellent experience for homeowners and provide transparent financing solutions. This includes offering online eligibility checks, cost transparency, and unique benefits that support homeowners throughout the term.