HighTechLending and Better Partner to Expand HELOC Access for Non-Traditional Borrowers
Event summary
- HighTechLending partners with Better to offer EquitySelect™ HELOC through NEO Home Loans, targeting homeowners who don’t qualify for traditional home equity loans.
- EquitySelect™ HELOC allows borrowers to tap home equity without refinancing their first mortgage, offering flexible payment structures.
- HighTechLending estimates 20% of declined home equity applications from Better’s NEO Home Loans could qualify under EquitySelect™.
- Better will integrate EquitySelect™ into its product suite and train teams to offer the HELOC option.
- HighTechLending will purchase the loans originated through the program.
The big picture
The partnership addresses a critical gap in the home equity lending market, where 26 million homeowners with low mortgage rates are locked into their current loans. By offering a flexible HELOC option, HighTechLending and Better aim to unlock $240 billion in annual loan volume for homeowners aged 40 and over. This move aligns with broader industry trends toward digital mortgage solutions and AI-driven lending platforms.
What we're watching
- Market Penetration
- Whether HighTechLending and Better can capture a significant portion of the $35 trillion in untapped home equity.
- Product Adoption
- The pace at which EquitySelect™ HELOC gains traction among self-employed or variable-income borrowers.
- Regulatory Scrutiny
- How flexible underwriting criteria may attract regulatory attention amid broader financial inclusion efforts.
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