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What will it cost to buy back my home equity investment?

An HEI has no monthly payment — the cost arrives at the exit. Enter your home value and investment amount to see the repurchase math both ways.

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Typical range: $30K–$600K (varies by investor)

Exit Home Value

$750,000

Investment Thickness

13.3%

Investor Share of Exit

26.7%

Lower Method

Equity Share ✓

Homeowner Repurchase Amount

$200,000

Equity share applies — 26.7% of $750,000

Method A — Equity Share of Exit Value

$200,000

26.7% × $750,000

Method B — Safety Cap (1.499%/mo compounded)

$204,251

$100,000 × (1.01499)^48

Cost Comparison

$200,000
Equity Share
$204,251
Safety Cap
$200,000
You Pay

How is this calculated?

  • Investment Thickness = HEI amount ÷ home value = 13.3%
  • Investor's Share = Thickness × 2.0x equity multiple = 26.7%
  • Method A (Equity Share)= Investor's share × exit home value = $200,000
  • Method B (Safety Cap) = HEI amount compounded at 1.499%/mo = $204,251
  • You pay the lesser of Method A or B — the homeowner is always protected.

For illustrative purposes only. Actual HEI terms, pricing, and eligibility vary by investor, property, and borrower profile. Contact Randy for a personalized scenario.

Thinking about buying out your HEI?

Many homeowners exit an HEI with a HELOC or refinance. Start the 5-day HELOC pre-qualification — your home value and repurchase estimate carry over.

Check my HELOC options →

No-obligation pre-qualification. Not a loan application or a commitment to lend.

The short answer: you typically pay the LESSER of two numbers — the investor's equity share applied to your home's value at exit, or the original investment compounded under a safety cap. This calculator computes both from your inputs and shows which one protects you.

How is the investor's share determined?

The investment amount divided by your home's starting value is the "thickness." Multiply it by the program's equity multiple (2.0× here) and you get the share of the exit value the investor collects. A $100,000 investment on a $750,000 home is 13.3% thick, so the investor's share is 26.7% of whatever the home is worth when you settle.

When should I think about buying out early?

The equity-share cost grows with your home's value and the cap grows with time, so the repurchase amount generally rises the longer you wait. If your home is appreciating quickly, modeling an earlier exit — funded by a home-equity product — can be worth a serious look.

Illustrative example — not an offer or a rate/APR quote

A homeowner took a $100,000 HEI on a home worth $750,000, and settles after 48 months with the home's value unchanged.

Method A (equity share): 13.3% thickness × 2.0 multiple = 26.7% of $750,000 ≈ $200,000. Method B (safety cap): $100,000 compounded at 1.499% per month for 48 months ≈ $204,000. The homeowner pays the lesser — about $200,000. Actual HEI terms, multiples, and caps vary by investor and contract.

Frequently Asked Questions

What is a Home Equity Investment (HEI)?
An HEI is cash from an investor today in exchange for a share of your home's future value — no monthly payments and no interest rate. You settle later by buying the investor out, selling, or refinancing. The cost shows up at the exit instead of in a monthly bill.
How is an HEI repurchase amount calculated?
Two methods are computed and you typically pay the lesser: (A) the investor's equity share percentage applied to the home's value at exit, and (B) a safety cap that compounds the original investment at a set monthly rate. This calculator shows both, side by side, and highlights which one applies.
Why does my home's appreciation matter so much?
The equity-share method is a percentage of the home's exit value, so the more the home appreciates, the more the investor's share is worth. In strong appreciation scenarios the safety cap often becomes the cheaper method — the calculator lets you model different appreciation rates.
How do homeowners usually exit an HEI?
Selling the home, refinancing it, or buying the investor out with a home-equity product such as a HELOC or HELOAN. If you have enough equity beyond the HEI, a buyout can end the equity-sharing while keeping the home.
Is an HEI better or worse than a HELOC?
They solve different problems. An HEI has no monthly payment but gives up a slice of future appreciation; a HELOC keeps all appreciation but adds a monthly payment. Which is cheaper depends on how long you hold it and what the home does — run both calculators and compare exits.

Calculator results are estimates based only on the numbers you enter and are for educational purposes. Enter the rate you have been quoted — this tool never assumes or suggests a rate. Subject to credit approval. Your home is used as collateral and may be at risk if you do not repay. APR, terms, and repayment structure vary by product.

Rates and program availability may vary based on the state or region in which the financed property is located. This is not a credit decision, an offer, or a commitment to lend. Program restrictions apply.

Randy Mathis | NMLS# 1516760 | Lumin Lending Inc. NMLS# 2716106 | Equal Housing Lender | License information