Head-to-head

Point vs Unison: which costs less?

How Point and Unison compare on terms, on cost at different growth rates and timelines, and on who each one fits.

The short answer

In our standard example ($100,000 against a $750,000 home with a $300,000 mortgage, 4% growth, settled after 7 years), Point costs 14.3% a year versus 14.7% for Unison.

Unison is cheaper below about 3.6% annual growth; Point is cheaper above it (settling after 7 years).

Point is also cheaper if you settle within 3 years or hold for 10.

Side by side

PointUnison
What they call itHome Equity Investment (HEI)Equity Sharing Agreement
How you repayShare of your home's gain, measured from a starting value set below your appraisalShare of your home's change in value, up or down
Cash available$30K to $600KUp to $500K
Max share of home valueNot published15%
Equity you must keepNot publishedNot published
FeeUp to 3.9% (minimum $2,000)Up to 3.9%
Cost cap18% a yearNone published
TermUp to 30 yearsUp to 30 years
Minimum credit score500Not published
Shares losses if value fallsYes, below the starting valueYes

Full reviews: Point · Unison. Sources for every term.

Cost at different growth rates and timelines

Effective annual cost for $100,000 against a $750,000 home with a $300,000 mortgage. The cheaper of the two is highlighted.

Growth3 years7 years10 years
PointUnisonPointUnisonPointUnison
0% a year20.2%8.3%8.3%3.5%5.7%2.4%
2% a year20.2%15.2%11.3%9.6%8.7%8.2%
4% a year20.2%21.6%14.3%14.7%11.5%12.7%
6% a year20.2%27.6%17.1%19.1%14.1%16.5%
8% a year20.2%33.3%18.9%23.1%16.7%20.0%

Ten-year agreements are shown at year 10 when you'd hold longer. Open this example in the calculator.

Key differences

  • How you repay: Point: share of your home's gain, measured from a starting value set below your appraisal. Unison: share of your home's change in value, up or down.
  • Cost cap: Point 18% a year; Unison publishes none.
  • Starting value: Point measures from 27% below your appraisal; Unison from 5% below.
  • How much you can take: Point doesn't publish a limit; Unison up to 15% of your home's value.
  • Credit: Point minimum 500; Unison doesn't publish one.

Which fits you

  • Your home may not appreciate much: Unison (3.5% vs 8.3% at 0% over 7 years).
  • You expect strong growth: Point (18.9% vs 23.1% at 8% over 7 years).
  • You might settle within 3 years: Point (20.2% vs 21.6%).

Questions

Is Point or Unison cheaper?

In our standard example ($100,000 against a $750,000 home with a $300,000 mortgage, 4% growth, 7 years), Point costs 14.3% a year versus 14.7% for Unison. Unison is cheaper below about 3.6% annual growth; Point is cheaper above it (settling after 7 years).

Which is better if I settle early, Point or Unison?

Settling after 3 years at 4% growth, Point costs 20.2% a year versus 21.6%.

More comparisons

Run your own numbers

Every figure here uses a standard example. The calculator runs your home, your mortgage, and your assumptions through every provider at once.

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