- Technology startup Point gives homeowners the ability to exchange home equity for funds without a monthly payment obligation.
- The founders of the company wanted to create a product that provides more flexibility to investors and homeowners so that when one party is struggling, the whole system doesn't collapse.
- In a Point contract, a combination of an on-site appraisal, a third-party automated valuation model and other in-house algorithms determine a property’s worth.
- Point is currently only available in cities in coastal California but hopes to add other areas to its coverage before the end of the year.
Homeowners who want to access the equity in their homes but fail to qualify for traditional solutions like home equity lines of credit (HELOCs) have a new solution in Point, a technology startup that gives borrowers cash in exchange for a share of their property’s equity.