Hometap, which provides a smart, new loan alternative for tapping into home equity without taking on debt or rising interest rates, announced today that it is now available to homeowners across the state of Utah.
The roll-out is especially timely, given the recent spike in interest rates for cash-out mortgage refinancings and home equity lines of credit – the steepest sudden climb since 1987.
Unlike home equity lenders, Hometap makes investments in homes in exchange for a percentage of the future value of the property, providing homeowners debt-free cash today without interest or monthly payments. Homeowners can use the cash to accomplish their financial goals or fund significant expenses – from paying off credit card debt to building a dream kitchen to funding their small business or using the money towards a down payment on an investment property.
The typical home value in Utah currently stands at approximately $529,509, and has been growing rapidly, at a rate of 29.6% in 2021, according to data from Zillow. Average home equity gained in the state last year was $91,000, based on information from real estate data firm CoreLogic.
“Utah has seen a rapid acceleration in home values, but homeowners have been limited in how they can tap equity without taking on debt in a rising interest rate environment,” said Jeffrey Glass, CEO of Hometap. “As real estate values continue to soar, homeowners are looking for new ways to tap their home’s value without the added burden of a loan, both to address their immediate financial needs and meet their long-term financial goals. We are very excited about expanding our geographic footprint into Utah and helping more homeowners.
The launch of operations in Utah brings Hometap’s state count to 18; the company also invests in homes in Arizona, California, Florida, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New York, North Carolina, South Carolina, Ohio, Oregon, Pennsylvania, Virginia, and Washington.
Hometap is on a mission to make homeownership less stressful and more accessible. Our home equity investment product provides homeowners with a fast, simple, and straightforward way to access the equity in their home without taking out a loan or having to sell. By investing alongside homeowners, Hometap offers debt-free cash in exchange for a share of their home’s future value — all without any monthly payments or interest over the life of the investment. Through a combination of financial innovation and best-in-class customer service, Hometap enables people to get more from homeownership so they can get more from life. Learn more at hometap.com.