đź—ą Updated on 07/17/2024

Best Home Equity Agreement Companies

A home equity agreement give you cash in exchange of portion of your's home future value.

✪ Unlock cash in exchange for a portion of your home's future value.

  • âś” Simple approval process
  • âś” No interest rate and no monthly payments
  • âś” Available to property owners of all ages & you don't need a perfect credit score to qualify
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How To Choose The Best Service

Unlock HEA isn’t a lender or a bank. Unlock is a team of consumer finance, mortgage and real estate leaders helping the everyday American homeowner who has been left behind by the traditional home and finance system. They enable homeowners to access home equity without getting a loan. This gives homeowners greater flexibility and control over their finances allowing them to pay off high interest debt, make home improvements or pay for a child’s education. In this article, we will discuss everything you need to know about Home Equity Agreement services.

Compare Your Options

Minimum Credit Score 500

Debt-to-Income 80%

Loan-to-Value 80-90%

Fine Print

Must maintain property, pay taxes, home insurance and first lien mort(if applicable)

Home Equity Loan

Minimum Credit Score 650

Debt-to-Income 43%

Loan-to-Value 80-90%

Fine Print

Monthly payments can fluctuate, home value could put owner under water

HELOC

Minimum Credit Score 620

Debt-to-Income 43%

Loan-to-Value 80-85%

Fine Print

Penalities for inactivity, required balance

Cash-Out Refinance

Minimum Credit Score 580

Debt-to-Income 50%

Loan-to-Value 80%

Fine Print

30 to 60 days to close, interest rates higher

Reverse Mortgage

Minimum Credit Score None debit to Income N/A

Debt-to-Income 50-60%

Loan-to-Value 80-85%

Fine Print

Must Pay taxes, Insurance and live in the home , Age restrictions
Home Equity Loan
HELOC
Cash-Out Refinance
Reverse Mortgage
Minimum Credit
Score
500
700
680
580
None
Debt-to-Income
N/A1
43%
43%
50%
N/A
Loan-to-Value
80%
90%
85%
80%
60%
Fine Print
Must maintain property, pay taxes, home insurance and first lien mortgage (if applicable)
Defaulting on your loan or missing payments could cause you to lose your home to foreclosure.
Variable monthly rate. Penalties for inactivity, required balance
30 to 60 days to close, interest rates higher
Must pay taxes, insurance and live in the home. Age restrictions

Pros

  • You don’t need perfect credit to qualify.
  • An Unlock HEA is not a loan. There’s no interest rate uncertainty and no monthly payments.
  • It’s available to property owners of all ages—unlike reverse mortgages.


Cons

  • Must maintain property
  • Must have a Home Insurance

Questions?

We Have Answers

Can I qualify if I have a mortgage on my home?
Yes! If you have a mortgage, you should have significant equity in your home to qualify – typically about 40%.
Do I have to maintain homeowners insurance during the agreement’s term?
Unlock requires you to maintain hazard insurance equal to the replacement cost of your home. Unlock must continue to be named on all property insurance policies as a “mortgagee” and/or “additional interest” throughout the term of your HEA.
Am I eligible for an HEA if my home is in a trust?
Yes, as long as the trustor lives in the home as their primary residence, and all trustees and trustors sign the home equity agreement at closing.
How is Unlock different from a reverse mortgage?
An Unlock Agreement has no age requirements and can yield similar cash to a homeowner as a reverse mortgage. Unlike a typical reverse mortgage, you can take out an Unlock Agreement in addition to your first mortgage. In addition, a reverse mortgage is a loan and has an interest rate which increases the balance owed regardless of the home’s value. Over time it is possible for a reverse mortgage to consume all your home equity. An Unlock agreement is not a loan, is impacted by home value and does not consume all your home equity.
How much can I get from Unlock?
Once you create an account, we’ll provide an estimate of the maximum cash available. In general, the maximum amount of cash available from Unlock is $500,000. The specific amount we can offer you depends on four things: Your home’s current value. In general, the more your home is worth, the more cash is available. Pre-existing housing debt. This includes all mortgages and credit lines secured by your home. In general, the less housing debt you have, the more cash is available. Your credit history. A good credit track record may qualify for more cash. The use of the property. We can typically offer more cash when the home is your primary residence. Note that these factors can affect each other. For instance, an expensive home with a lot of debt may qualify for less cash than a less expensive home with no debt. See the Unlock Product Guide for more details.
Who owns the home?
You do! Unlock secures its interest by placing a lien on the property but has no rights of occupancy. We do not go on title except in rare circumstances. See the Unlock Product Guide for more details.
Which states are you available in?
We are currently helping homeowners access their equity in Arizona, California, Colorado, Florida, Michigan, New Jersey, North Carolina, Oregon, Pennsylvania, South Carolina, Tennessee, Utah, Virginia, and Washington state.