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- Hometap Closes $278 Million Securitization Backed by Home Equity Investments
Hometap Closes $278 Million Securitization Backed by Home Equity Investments
Slice of Real Estate Team
October 09, 2024
Key Highlights:
Hometap closes $278 million securitization backed by home equity investments on October 3, 2024.
Morningstar DBRS rated Class A and Class B tranches totaling $229 million.
This follows the successful HTAP 2024-1 debut earlier this year, expanding Hometap’s securitization platform.
Five new investors participated, showing growing interest in HEI assets.
Nomura and Texas Capital Securities served as co-structuring leads and joint bookrunners.
Source: Business Wire
Notable Quotes:
“We continue to expand our capital market footprint and capabilities. This broadly subscribed securitization demonstrates our continued capacity to create investment products that resonate with investors.”
“The successful closure of HTAP 2024-2 further validates the strength of Hometap’s brand among capital markets investors.”
Our Take:
The completion of Hometap’s second securitization, HTAP 2024-2, not only highlights the growing appeal of Home Equity Investments (HEIs) but also underscores the company’s ability to attract institutional capital. By tapping into the market’s demand for alternative financing solutions, Hometap is positioning itself as a leader in this maturing asset class. This securitization signifies a pivotal moment in expanding HEI access, both for homeowners seeking financial flexibility and investors looking for innovative, resilient products amid challenging economic conditions.