Hometap vs Unlock: Which Home Equity Investment Is Right for You in 2026?

Both Hometap and Unlock will write you a check in exchange for a slice of your home's future value — no monthly payments, no interest, no income verification. But the details matter enormously. This head-to-head comparison breaks down exactly how Hometap and Unlock differ on fees, terms, settlement options, and eligibility so you can make the right call for your situation.

The Short Answer

For most homeowners, Hometap is the stronger choice. They have a longer operating history, broader state availability, a more transparent fee structure, and an online process that moves quickly. Unlock is a legitimate alternative — especially if you want more flexibility in how you settle the agreement — but Hometap wins on overall accessibility and track record.

That said, the best provider for you depends on your specific home value, equity amount, state, and how you plan to eventually settle. Read on for the full breakdown.

What Both Companies Do

Hometap and Unlock are both home equity investment (HEI) companies — also called home equity agreement providers. They are not lenders. They do not offer loans. Instead, they give you a lump sum of cash today in exchange for a percentage of your home's future appraised value when you sell, refinance, or reach the end of the agreement term.

The key features that both share:

• No monthly payments — You owe nothing until settlement
• No interest charges — The cost is equity, not interest rate
• No income verification — Qualification focuses on your home, not your paycheck
• Credit score minimums lower than traditional loans — Typically 500–550+ depending on the provider
• Lump sum upfront — Use the cash for anything (debt payoff, renovations, business, retirement)

For a deeper look at how HEIs work compared to other home equity products, read our guide on home equity agreements vs HELOCs.

Company Overviews

Hometap — The Market Leader

Hometap was founded in 2017 and has become the most recognized name in the home equity investment space. They've completed tens of thousands of investments across the country and have raised significant venture capital backing. Hometap is headquartered in Boston, MA and operates in most major U.S. markets.

Hometap positions itself as the "friendly" option — they emphasize transparency, fast timelines, and a digital-first process. Most homeowners can go from application to funding in as little as three weeks. They also offer a proprietary Hometap Investment Calculator that lets you model different scenarios before committing.

Unlock — The Flexible Challenger

Unlock Technologies launched in 2021 and has quickly built a presence as a competitive alternative to Hometap. Unlock is backed by institutional investors and operates in a growing number of states. Their core differentiator is a partial buyback option — homeowners can buy back portions of the equity they've shared over time, reducing the eventual settlement amount without having to sell or refinance the entire home.

This buyback flexibility makes Unlock particularly interesting for homeowners who expect their income to increase over the investment term and want the option to incrementally reduce their equity commitment.

Side-by-Side Comparison

How the Fees Compare

Both companies charge an upfront fee at closing in addition to standard closing costs. Hometap charges 4.5% of the investment amount plus closing costs; Unlock charges up to 4.9% plus closing costs. On a $50,000 investment, that's roughly $2,250 vs $2,450 — Hometap comes out slightly ahead on fees.

The more significant cost difference is in the equity stake itself. Both companies use a starting home value (called the "appraised value" at time of agreement) and a multiplier to determine what percentage of your home's future value they receive. The exact formula varies based on how much cash you take, your home's current value, and the term length.

Here's an illustrative example: You have a $500,000 home with $300,000 in equity. You take $60,000 (12% of home value) from either provider. Ten years later, your home is worth $750,000:

Note: These are illustrative estimates. Actual terms depend on your home value, equity, state, and the company's current pricing model. Always model your specific scenario with each provider before deciding.

The bottom line: Hometap's fees are slightly lower, and their equity stakes tend to be marginally more favorable on equivalent deals. Unlock's partial buyback feature can offset this if you exercise it strategically.

Eligibility Requirements

Hometap Eligibility

• Credit score: 550 minimum
• Home value: Minimum ~$200,000
• Equity: At least 25% equity in the home
• Property type: Single-family, condos, townhomes (no mobile homes)
• Occupancy: Owner-occupied primary residence
• State: Available in 17 states + DC — check hometap.com for current coverage
• Existing liens: Hometap will take second position behind a first mortgage; significant second liens can affect eligibility

Unlock Eligibility

• Credit score: Minimum 500
• Home value: Minimum ~$200,000
• Equity: At least 20% equity required
• Property type: Single-family homes, condos (restrictions apply)
• Occupancy: Owner-occupied primary residence
• State: Growing footprint — verify your state on unlock.com

Both providers have lower credit score requirements than HELOCs or home equity loans, making them accessible to homeowners who can't qualify for traditional lending. For a full breakdown of options for low-credit homeowners, see our guide on home equity with bad credit.

The Settlement Process

One of the most important differences between Hometap and Unlock is how you can settle the agreement.

Hometap Settlement Options

With Hometap, you settle the agreement in one of four ways:

1. Sell your home — Hometap receives their share of the sale proceeds
2. Refinance — Take out a new mortgage and use cash-out proceeds to buy out Hometap's stake
3. Buy out Hometap directly — Pay their share using savings or other funds before the term ends
4. End of term (10 years) — If you haven't settled, a new appraisal is conducted and you must settle within a defined window

What Hometap does NOT offer: partial buybacks. You either settle everything at once or you don't — there's no middle ground.

Unlock Settlement Options

Unlock offers everything Hometap does, plus a key additional feature: partial buybacks. At any point during the term, you can pay back a portion of the equity stake you sold without settling the entire agreement. This is especially valuable if:

• Your home has appreciated significantly and you want to lock in a smaller settlement amount
• Your financial situation has improved and you want to reduce your future equity obligation
• You're approaching the end of the term and want to reduce exposure before a full settlement

The partial buyback feature is Unlock's most distinctive product advantage. For homeowners who are disciplined about using windfall income (bonuses, inheritance, business proceeds) to chip away at the equity stake, it can result in a meaningfully better outcome than Hometap.

State Availability

This is where Hometap has a clear structural advantage. Hometap operates in significantly more states than Unlock. If you're in a major metro market, both are likely available. But if you're in a smaller state or rural area, Hometap is more likely to serve you. Always verify current availability on each company's website before going through the application process — state coverage changes as these companies grow.

For a full list of companies and their state availability, see our ranking of the best home equity sharing companies.

Funding Speed

Hometap is faster. Their fully digital process — from initial application through appraisal, underwriting, and funding — typically completes in three weeks or less. Unlock's process takes approximately four to six weeks, partly because they use a more manual review workflow.

If speed matters to you (debt payoff deadline, renovation schedule, business need), Hometap is the better choice.

Customer Experience

Hometap has an established reputation with a large volume of customer reviews on Google, Trustpilot, and the BBB. The consistent themes in positive reviews: transparency, responsive customer service, clear documentation, and no surprises at closing. Negative reviews typically center on the cost — homeowners who feel the equity trade was more expensive than expected in hindsight.

Unlock is newer, so the review volume is smaller. Reviews skew positive but there's simply less data to draw from. Their customer service is generally described as attentive, and the partial buyback process is well-documented. For a deeper look at Hometap's history and reputation, read our Hometap review and our analysis of whether Hometap is worth it.

When Unlock Beats Hometap

Despite Hometap's advantages in most categories, there are specific scenarios where Unlock is the better choice:

• You expect income growth — If you plan to use future income (bonuses, raise, side business) to buy back portions of your equity stake, Unlock's partial buyback feature gives you a powerful tool that Hometap doesn't offer
• You want maximum cash — Unlock's higher maximum investment percentage (up to 43.5% of home value vs Hometap's ~30%) means higher maximum cash amounts on high-value homes
• You have very low credit — If your score is in the 500–550 range, Unlock may be more flexible in some markets
• Hometap doesn't serve your state — If Hometap isn't available where you live but Unlock is, this is an easy decision

When Hometap Beats Unlock

Hometap is the stronger choice in these situations:

• You want the fastest funding — Three weeks vs four to six weeks is a meaningful difference when you need capital quickly
• You want the lowest fees — Hometap's 4.5% upfront fee beats Unlock's up to 4.9%, both plus closing costs
• You want more state coverage — Hometap is available in significantly more markets
• You value track record — Hometap has been operating since 2017 with a large volume of completed investments; Unlock is newer with less history
• You plan to sell your home anyway — If you know you'll be selling within the term, the partial buyback advantage of Unlock is irrelevant

Applying to Both: The Right Strategy

The good news: applying to both Hometap and Unlock won't hurt your credit. Both use soft credit checks for initial qualification, so you can get offers from both without any credit score impact. This is the smartest approach — get competing offers, compare the equity stake percentages side-by-side, and choose the better deal.

When comparing offers, focus on: the total equity percentage they're taking, the effective cost per dollar of cash received, and any appreciation caps that limit your maximum payback. Don't just look at the cash amount — two offers for the same cash can have dramatically different equity costs depending on how each company structures the agreement.

Alternatives to Both

Hometap and Unlock aren't the only players in the home equity investment market. Other major companies include Point (up to 30-year terms), Unison (focuses on larger homes), and Haus. Each has different terms, state availability, and eligibility requirements. For a full breakdown of how Hometap compares to Point specifically, see our Hometap vs Point comparison.

If you don't qualify for a home equity investment, alternatives include: cash-out refinancing (requires good credit and income), HELOCs (best rates require 680+ credit score), and home equity loans (similar requirements to HELOCs). We cover all of these in detail in our HEI vs HELOC comparison.

Our Verdict

For the majority of homeowners comparing these two options, Hometap wins: lower fees, faster funding, broader availability, and a longer track record. Start with Hometap, get an offer, then apply to Unlock to compare. If Unlock's partial buyback feature aligns with your financial plans, that specific advantage may justify choosing them despite the higher fees.

Either way, a home equity investment is a legitimate tool for accessing equity without monthly payments — and for homeowners who can't or don't want to take on traditional debt, it may be the best option available.