California-based couple Samantha and Edward run a seasonal business. At first, they looked into traditional loans to offset slower times of year. But “getting business loans proved to be a little harder nowadays,” Samantha noted, and as parents of a young daughter, they needed an alternative income stream to suit their growing family. After doing research into home equity sales, Samantha and Edward decided to access some of their home’s value with Hometap.
“As far as getting a decent chunk of money that we needed to supplement our business and have no monthly payments, where we can save in the meantime, [Hometap] really suited our needs,” Samantha said.
"This [Hometap] will also help us make money."— Edward, Hometap Customer
In the short term, Samantha and Edward will be using their Hometap capital to boost their small business and pay off a few debts. With increased flexibility from their improved cash flow, they’ll be able to take on new clients and more work (which in turn will lead to an increase in both their income and ability to pay off debt). Down the line, they’ll leverage their anticipated improved credit score to refinance existing loans for smaller monthly payments or better interest rates.
“It’s the domino effect,” Samantha said. “We’re trying to take little steps to improve and prosper.”
And as busy parents both juggling full-time jobs, their side business, and child care, Samantha and Edward appreciated Hometap’s dedication to efficiency. Documents were provided early for review, the appraisal was prompt, and inquiries were often addressed within the hour.
"It was a very smooth process—I highly recommend it."— Samantha, Hometap Customer