Unison offers an Equity Sharing Agreement (ESA) that lets homeowners unlock value in their homes without new monthly payments or interest. ESAs are often compared to home equity investments (HEIs), and while the two share a general approach, there are important differences in how each establishes and shares your home’s value.
What Is a Home Equity Investment Company?
A home equity investment company gives you a lump sum of cash today in exchange for a share of your home’s future value, with no monthly payments and no interest. Rather than lending you money and charging interest the way a HELOC does, the company shares in how your home’s value changes over time: it can receive more if your home gains value, and less if your home loses value.
An HEI isn’t a loan or line of credit. People sometimes use those options to cash out equity, agreeing to repay what they borrow with interest and monthly payments. HEIs, however, don’t come with interest or new monthly payments.
Instead, most HEIs share in the total value of your home. However, only Unison and Point share in your home’s change in value. Terms vary by company, but in general the company receives more when your home gains value and receives less, or even absorbs a share of the loss, when your home’s value falls.
Here’s a simple example* of how an HEI based on the change in your home’s value works:
A homeowner’s house is worth $500,000, and they decide to access some of that value through an HEI.
The company provides $50,000 in cash today, with no new monthly payments and no interest.
In exchange, the company will share in 40% of the change in the home’s value between now and the day the agreement settles.
Twelve years later, they sell the home for $700,000, a $200,000 increase. The company’s 40% share of that gain is $80,000, so the homeowner settles the agreement by returning the original $50,000 plus $80,000, for a total of $130,000.
If instead the home sells for $450,000, a $50,000 decrease, the company shares in 40% of that loss, or $20,000. The homeowner settles for the original $50,000 minus $20,000, which comes to $30,000, less than they received.
* For illustration purposes only. Not based on a real agreement; terms and conditions apply.
What Is an Equity Sharing Agreement?
An Equity Sharing Agreement is a financial product offered by Unison that’s often compared to HEIs. An ESA also lets you unlock a lump sum of cash today in exchange for a share of your home’s value as it changes over time. You don’t make any new monthly payments or pay interest with a Unison ESA.
Specifically, an Equity Sharing Agreement lets Unison share in the future change of your home’s value. The amount by which the final settlement is increased or reduced is calculated from the Original Agreed Value, which is your home’s starting value after Unison applies a 5% Risk Adjustment, through to the settlement date.
Equity Sharing Agreements do have some conditions. Unison only shares in a decline in value after a restriction period, and only if you sell your home rather than buy Unison out. During that restriction period (which is typically three years), the Equity Appreciation Limit caps what a homeowner might owe if they settle the agreement early.
Who Are Some of Unison’s Competitors?
Unison differentiates itself by offering an Equity Sharing Agreement with some unique terms, but it still operates within the HEI space. Its competitors* include:
Point, which offers cash upfront for a share of a home’s future change in value, using a risk-adjusted starting value of 27.5% below appraised value and terms up to 30 years.
Hometap, which provides a lump sum in exchange for a share of the home’s total value and requires settlement within 10 years.
Unlock, which gives homeowners cash for a share of total home value with a 10-year term and the option to make partial buyout payments along the way.
Splitero, which exchanges a lump sum for a share of total home value, with a cap limiting the total amount owed in high-appreciation scenarios.
Nada, which offers a Home Equity Agreement that provides cash for a share of total home value and, separately, runs an investment fund that lets outside investors buy into pooled home equity.
* Competitor terms are based on publicly available information as of August 18, 2026, and are for informational purposes only. Terms are subject to change; verify current terms directly with each provider.
Key Terms to Know Before Comparing ESA and HEI Options
Before comparing an Equity Sharing Agreement to other home equity investments, it helps to understand the terms that appear across most providers. These products don’t use standardized language as loans do, so a term like “appreciation” can mean different things depending on the company. Knowing what each term refers to makes it easier to compare offers accurately and understand what you’re agreeing to.
Common terms and definitions in the space include:
Risk-adjusted starting value. The home value an HEI provider uses as the baseline for calculating settlement amounts. It’s usually set below the appraised value, and the size of that reduction varies widely. Unison reduces the home’s value by 5%, while other companies* apply risk adjustments of greater than 25%. For example, Point’s is 27.5%, and when compared to Unison’s, this difference can substantially reduce your home’s value for the sake of the agreement. Providers that share in a home’s total value typically don’t apply a risk adjustment at all. This is because the higher the value, the more they stand to earn.
Share of change in value. A pricing model where the provider’s return is based only on the change in home value from the starting value, not the home’s full value.
Share of total value. A pricing model where the provider’s return is based on a percentage of the home’s entire value at settlement, not just the increase.
Settlement. The point at which the agreement ends and the settlement amount is calculated and paid. Typically, settlement is triggered by a home sale, refinance, buyout, or the end of the term.
Loss sharing. When the provider shares in a decrease in home value, which reduces the total settlement amount.
Restriction period. A set window early in the agreement, often three to five years, during which certain terms (like loss-sharing) may not yet apply.
Buyout. The option to end the agreement early by paying the provider directly, rather than through a home sale or refinance.
* Competitor terms are based on publicly available information as of August 18, 2026, and are for informational purposes only. Terms are subject to change; verify current terms directly with each provider.
What Is Unison, Exactly?
Unison is a home equity company founded in 2004 and based in San Francisco and Omaha. It operates in the HEI category, and its product is the Equity Sharing Agreement. This product is offered through Unison Agreement Corporation, which is not a lender or loan provider.
Unison has worked with more than 17,000 homeowners and unlocked over $1.02 billion in home equity. Its Equity Sharing Agreement lets homeowners access their home’s value today, with no new monthly payments and no interest, in exchange for a share of the home’s future change in value.
Disclaimer: This sponsored content is for informational purposes only and is not financial, legal, or tax advice. Unison’s Equity Sharing Agreement (ESA), offered through Unison Agreement Corp., provides cash upfront with no monthly payments or interest charges. In exchange, you share a percentage of your home’s future change in value when the agreement ends (upon sale, refinance, buyout after 5 years, 30-year term, or death/default). If your home depreciates below the Original Agreed Value, Unison typically shares in a portion of the loss, subject to program restrictions — you may still owe the full advance amount. A lien is placed on your property, which may limit future refinancing options. There may be tax implications (e.g., potential recognition of income on forgiveness of the advance if the home depreciates). No guarantees are made regarding home value changes or outcomes. For complete terms, eligibility, and details, visit unison.com. Always consult your own financial, legal, and tax professionals before proceeding.
Published Originally on — https://www.techtimes.com/articles/324806/20260817/unison-home-equity-investment-company-where-esa-fits-category.htm
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