At a glance
| What they call it | Home Equity Investment |
|---|---|
| How you repay | Share of your home's total value at settlement |
| Cash available | $15K to $600K |
| Max share of home value | 27% |
| Equity you must keep | 25% after funding |
| Fee | Up to 4.5% Fee from a third-party review |
| Cost cap | 18.5% a year, compounded monthly |
| Term | 10 years |
| Minimum credit score | 585 |
| Shares losses if value falls | Yes, you owe a share of a lower value |
How Hometap's agreement works
Hometap invests a percentage of your home's value. At settlement it receives a larger percentage of whatever your home is worth then.
In Hometap's published example for a 10% investment, that share is 16.5% if you settle in years 1 to 5 and 18% in years 6 to 10, multipliers of 1.65 and 1.8.
Hometap's return is capped at 18.5% a year, compounded monthly.
You can access up to 27% of your home's value and need at least 25% equity. The investment has to be settled within 10 years, through a sale, refinance, or buyout.
What Hometap costs
Effective annual cost for $100,000 against a $750,000 home with a $300,000 mortgage. Rows are yearly home appreciation; columns are when you settle.
| Growth | 3 years | 5 years | 7 years | 10 years |
|---|---|---|---|---|
| 0% a year | 20.6% | 11.9% | 9.7% | 6.7% |
| 2% a year | 22.7% | 14.1% | 11.9% | 8.8% |
| 4% a year | 22.7% | 16.4% | 14.1% | 11.0% |
| 6% a year | 22.7% | 18.6% | 16.3% | 13.1% |
| 8% a year | 22.7% | 20.9% | 18.5% | 15.2% |
* Hometap's agreement must be settled within 10 years, so longer holds are shown at year 10. Example: at 4% growth over 7 years you would net $94,000 after fees and settle for $236,868, an effective cost of 14.1% a year. Open this example in the calculator.
Pros and cons
Pros
- Up to 27% of your home's value, the highest published limit we've seen
- Return capped at 18.5% a year
- A lower multiplier if you settle within five years
- Up to $600,000
Cons
- A 10-year term can force a sale or refinance at an awkward time
- Share-of-value structure means you owe more than you received even if your home doesn't appreciate
- Fee (4.5% per LendEDU) isn't stated on the Hometap pages we reviewed
Who Hometap fits
Worth a look if: You need a larger amount relative to your home's value and expect to settle within 10 years.
Look elsewhere if: You want 20 or 30 years before you have to settle.
Compare Hometap
Hometap vs Point
Point is cheaper below about 3.6% annual growth, Hometap between 3.6% and 8.5%, and Point again above 8.5%, where its cost cap takes over (settling after 7 years).
Compare →Hometap vs Unlock
Hometap is cheaper at every growth rate we tested (-3% to 10% a year) over 7 years.
Compare →Hometap vs Unison
Unison is cheaper below about 3.6% annual growth; Hometap is cheaper above it (settling after 7 years).
Compare →Sources
Hometap: how it works · Hometap: how pricing works · LendEDU: provider comparison
Terms verified September 23, 2026. Full terms and sources for every provider: HEI Calculator provider terms.
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