Point Home Equity Investment: A Home Equity Loan Alternative (2026)

Is Point legit?

Yes. Point Digital Finance, Inc. (NMLS #1610752) is a Palo Alto-based fintech founded in 2015 by Eddie Lim and Eoin Matthews. The company is BBB accredited with an A+ letter rating and has funded more than 20,000 homeowners and over $2 billion in home equity investments as of December 2025, according to a company press release.

Point has been covered by the New York Times, the Wall Street Journal, Reuters, Fox Business, Time and TechCrunch. It is backed by institutional investors including Andreessen Horowitz, Ribbit Capital, Greylock Partners and Blue Owl Capital, which committed $2.5 billion to Point’s HEI program in late 2025.

The HELOC is originated through Figure, a separate licensed fintech lender.

What makes Point shine?

• No monthly payments on the HEI. Unlike a HELOC or home equity loan, Point’s HEI has no monthly interest or principal due. You settle in a single lump sum, typically when you sell, refinance or decide to buy back your equity, anytime within 30 years.
• Very flexible credit requirements. A 500 credit score is all that’s required for the HEI — well below the 640 to 680 most home equity lenders require. There are also no income requirements, which opens the door for self-employed borrowers or retirees.
• Large loan amounts. The HEI offers $30,000 to $600,000 and the HELOC goes up to $750,000 — both competitive ceilings for the category.
• Fast HELOC funding. Qualifying HELOC applicants can receive funds in as little as five business days, assuming the loan is under $400,000 and closes with a remote online notary.
• No prepayment penalty on either product. You can exit the HEI or pay off the HELOC early without a penalty, which matters when rates or home values shift.
• One application, two offers. Point’s online prequalification flow can qualify you for both an HEI and a HELOC simultaneously, letting you compare both options side by side.

Where Point falls short

• HEI costs can be hard to predict. Because Point’s payout depends on your home’s future value, the true cost of the HEI isn’t fixed — it rises with appreciation. In an average appreciation scenario, Point’s example shows a homeowner paying back significantly more than they received. Buyers in appreciating markets should model the math carefully.
• Processing fee is steep. Point charges up to 3.9% of the investment amount (minimum $2,000) on the HEI, meaning the fee floor hits hardest on smaller investments. The HELOC carries an origination fee of up to 4.99% of the initial draw.
• HELOC is only available in 8 states. At the time of writing, Point’s HELOC is offered only in California, Colorado, Connecticut, Georgia, Illinois, Maryland, North Carolina and Washington. The HEI is available in 27 states plus Washington D.C.
• The HEI places a lien on your home. Point secures the agreement with a lien, which means you can’t take out a new HELOC, home equity loan or refinance while the HEI is in place without settling it first.
• Repayment is lump-sum only. You can’t pay down the HEI in installments. Settlement must be made in full — something to plan for if you intend to exit before selling your home.

See the best HELOC and home equity loan rates available to you today

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Point product details

HEI details

HEI state availability (as of May 2026): Arizona, California, Colorado, Connecticut, Florida, Georgia, Hawaii, Illinois, Indiana, Kentucky, Maryland, Michigan, Minnesota, Missouri, Nevada, New Jersey, New York, North Carolina, Ohio, Oregon, Pennsylvania, South Carolina, Tennessee, Utah, Virginia, Washington, Washington D.C. and Wisconsin.

HELOC details

Note on HELOC APR: The initial draw is fixed-rate. Additional draws during the draw period are variable, tied to the Prime Rate plus a fixed margin, and may be higher than the initial fixed rate.

Point contact info

How does the Point HEI work?

A Home Equity Investment is not a loan. Instead of borrowing against your home, you’re selling Point a stake in a portion of your home’s future value. Here’s how the structure works:

1. You get cash upfront. Point gives you a lump sum in exchange for the right to a percentage of your home’s appreciation.
2. No payments during the term. For up to 30 years, you owe nothing monthly. Point places a lien on your home but you retain full ownership and control.
3. You exit when you’re ready. You can settle the HEI at any time — usually when you sell, refinance or buy back Point’s stake directly. There is no prepayment penalty.
4. Repayment is based on your home’s value at exit. Point applies a “risk-adjusted starting value” (which is lower than your current appraised value — around 27% below, based on Point’s published examples). From that baseline, any appreciation is shared. If your home falls in value, Point shares in the loss and you may pay back less than you received.

A concrete example from Point’s website: A homeowner receives $50,000 on a home currently worth $500,000. After five years of average appreciation (3.5% annually), the home sells for $593,800. The homeowner keeps around $479,500; Point receives around $114,300 — more than double the original investment. Under a large depreciation scenario, the homeowner pays back only $49,200.

How does Point’s HELOC work?

Point’s HELOC is a revolving line of credit secured by your home. It functions more like a traditional HELOC than the HEI does: you borrow against your equity, pay monthly interest on what you draw and repay principal over time.

A few things set Point’s HELOC apart from standard products:

• The initial draw is 100% funded at closing and carries a fixed APR.
• As you repay, you can make additional draws during the draw period — but those draws carry a variable rate tied to the Prime Rate, which may be higher than your initial fixed rate.
• There are no prepayment penalties.
• Because it’s originated through Figure, the application and closing process is largely digital.

How do you qualify for a Point HEI?

To be considered for Point’s HEI, you’ll need:

• A home in a Point-eligible state
• Sufficient home equity (Point must be in at least a third-lien position; your home must be worth at least $155,000)
• A credit score of 500 or above
• No income documentation required
• Mortgage payments current (no delinquencies in the prior 90 days)
• No recent bankruptcy or foreclosure that would trigger a waiting period

Prequalification is a soft pull and won’t affect your credit score.

How do you qualify for a Point HELOC?

Requirements are more stringent:

• Home in one of the eight eligible states (CA, CO, CT, GA, IL, MD, NC, WA)
• Minimum credit score: 680
• Verified income required
• Sufficient home equity and loan-to-value ratio (exact LTV not listed on its website)

How to apply for a Point HEI or HELOC

1. Prequalify online. Enter your address at point.com to get an initial offer estimate in under 60 seconds. No impact on your credit.
2. Compare your options. If eligible for both products, Point shows you both offers side by side so you can compare.
3. Submit a full application. Gather and upload required documents. Point will order a credit report, title report and independent appraisal at this stage.
4. Close and receive funds. A mobile notary comes to you for closing. Funds are wired to your account — typically within three weeks for the HEI, as fast as five business days for the HELOC (conditions apply).

Is a home equity investment a good idea?

A home equity investment like Point’s HEI can make sense in the right circumstances, but it isn’t for everyone. Here’s how to think about it:

It may work well if: You need cash but don’t want or can’t afford monthly payments, you’re equity-rich but income-limited, you have below-average credit, or you plan to sell your home before major appreciation.

It may not work well if: Your home is in a fast-appreciating market (you’ll give up more), you want to refinance or take out additional home equity debt while the HEI is in place, or you prefer predictable, fixed costs.

Traditional home equity loans and HELOCs remain cheaper in most appreciation scenarios, but require stronger credit and a monthly payment commitment. Point’s HEI fills a genuine gap for borrowers who don’t fit that mold.

Point reviews and complaints

Point earns strong marks across both platforms. Trustpilot reviewers most commonly praise transparent communication, helpful account managers and the ease of the online application portal, with many noting Point helped them when traditional banks wouldn’t.

The main complaints center on appraisals coming in lower than expected and occasional difficulty reaching account managers by phone (email is cited as the faster channel). A late-2025 BBB complaint involved an unwanted hard credit pull from an affiliate application, which Point attributed to a partner called Open Market Lending.