Home equity startup Hometap raises $100M

Hometap , which provides a smart, new loan alternative for tapping into home equity without taking on debt, has announced that it has secured $100 million in new financing. The capital raise includes ICONIQ Capital, LLC as well as Hometap’s current investors General Catalyst, G20, Pillar and American Family Ventures .

With this additional financing, Hometap plans to continue its nationwide expansion, with the goal of bringing its total reach to approximately 75 percent of U.S. homeowners. The company will also be expanding its platform capabilities and significantly growing its cross-functional team to continue to deliver a best in class homeowner experience.

Hometap provides a smart new alternative to these solutions, enabling homeowners to access a percentage of their home’s current value in exchange for an agreed upon percentage of the future value of their home. In addition, homeowners can now use the wealth built up in their home to invest in other assets in order to diversify their portfolio and right size their debt. Finally, the company is providing its investors access to the U.S. residential real estate market.

“We are thrilled to be investing with Hometap. With a highly transparent, customer-first approach, they are providing a valuable solution to the challenges faced by many homeowners. As investors, it’s rare to find opportunities with the combination of an attractive asset profile, a gifted management team, and the potential to provide meaningful economic benefits to households across the country. Hometap’s deep bench of high quality, high integrity professionals has created an exceptional platform that helps align homeowners and investors. They are incredibly well-positioned to lead the growth we are witnessing in the market.” – Nugi Jakobishvili, ICONIQ’s Chief Investment Officer.

Bottom Line: Figure comes to mind.