October 22, 2018
BOSTON, Oct. 22, 2018 /PRNewswire-PRWeb/ — Hometap, the data-driven, home equity investment platform, today announced that is has been named to the 2018 CB Insights Fintech 250 List of Fastest-Growing FinTech Startups. The list highlights companies demonstrating financial viability and strong growth, which CB Insights predicts will see continued momentum in the coming year. This year’s list includes 113 new companies, covering everything from insurance tech to consumer banking to capital markets tech.
Since its inception in January of 2018, Hometap continues to exhibit consistent growth. Notable highlights already this year include the closing of its $14.5M Series A funding round, led by G20 Ventures and joined by General Catalyst, Pillar, and American Family Ventures, the venture arm of AmFam Insurance, and the launch of its product in Massachusetts and California. The current 15-person team recently moved into office in the Prudential Center in Back Bay Boston.
Leveraging data intelligence, Hometap gives homeowners a new way to tap into the equity they have accumulated in their homes. Different than debt-based products like home equity loans or lines of credit, Hometap invests alongside home owners, giving them cash today in exchange for a share of the proceeds of the property, later.
The U.S. residential real estate market is the nation’s largest asset class, but access to home equity has been historically challenging for homeowners. Research commissioned by Hometap found that homeowners who have owned their properties for at least 5 years, reported sitting on more than $120,000 in home equity, yet only one in three stating they believed that it was easily accessible.
“CB Insights recognition provides more validation that we have a massive opportunity to change the way the financial services industry helps homeowners,” said Jeff Glass, CEO of Hometap. “Today’s homeowners have worked hard to build equity in their homes and they are not interested in taking on more debt. They want better options, that acknowledge the hard work they’ve put into growing their home equity and share in the future rewards and risks of the real estate market. That’s exactly what we do.”
Homeowners choose Hometap to gain near-immediate access to funds in order to address important financial needs or to pursue future opportunities without the added burden of additional debt. Unlike a lender, Hometap receives no monthly payments or guaranteed return on the money they invest. To get started with Hometap, homeowners complete a short Investment Inquiry and open an account online. The company can then provide an estimated investment amount, typically between 10 and 20 percent of the home’s value, and terms if applicable. In addition, they are able to submit a quick Fit Quiz online to gauge how an investment in their property may fit into their unique financial picture.
The CB Insights research team selected the Fintech 250 companies based on several factors including data submitted by each company and their Mosaic Score. The Mosaic Score, based on CB Insights’ algorithm, measures the overall health and growth potential of private companies. Through this evidence-based, statistically-driven approach, the Mosaic Score can help predict a company’s momentum, market health and financial viability.
Hometap is revolutionizing home financing, giving this generation of homeowners a new way to take advantage of the equity they’ve earned in their homes. Founded in 2017, Hometap makes investments of up to 20 percent of a home’s current value, allowing homeowners to immediately receive cash for the things they need and want without having to incur further debt through a home equity loan or second mortgage. Because Hometap is not a lending product, there is no set credit score required, no interest rates, and no monthly payments. Through home equity investments, Hometap is working to make homeownership more accessible and less stressful. For more information, please visit https://www.Hometap.com.