Hometap brands itself as “the smart way to tap into your home’s equity.” Many financial institutions offer home equity loans, but Hometap uses a different model. The company provides home equity investments. As an alternative to home equity loans, home equity investments allow homeowners to leverage their equity without taking out a loan.
In this review, we’ll explain home equity investments and take a closer look at Hometap.
Hometap offers home equity investments, which are an emerging alternative to home equity loans and lines of credit. So, Hometap is an investment company, not a lender. It doesn’t issue loans that use your home equity as collateral the way standard financial institutions do.
This article originally appeared on howstuffworks.com. Read the full article here.