Consumer complaint received 2025-05-14 00:00:00
Product: Mortgage — Other type of mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Confusing or misleading advertising or marketing
Company: Hometap Equity Partners, LLC
State: CA

Complaint narrative:
I got lured in from Hometap marketing of offering no interests, no monthly payments, and dont require to pay it back until ten years. They said that when your property loose value, we loose money with you. When the property increase in value, we win with you. So I went into the deal and because I thought the money would help me and my family.

However, I later tried to refinance again with Hometap and found out that : 1. Hometap intentionally control the appraisal values, they hire their own appraisers.

2. Its an illegal reverse mortgage that they offer 3. They do not accept partial payments 4. The company sales agent did not go over the payments information with me. He said to do it myself of how much I want to take out when I asked how much I need to take out.

5. They charge more than the investment amount even if after the property value goes down ( as listed on the contract ). What I had initially understood is that they said that when the property value goes down, we take the loses with you. 
6. The longer I stay in the house, the more equity that I will loose to Hometap. ( They promised that I do not need to pay back in ten years ) 7. They used the bait and switch. False advertising to lure in people to believe that they are getting a good deal.

8. They said this is not a loan, but recorded it as a mortgage. When a mortgage is a loan.

9. They have unlicensed sales agents speaking to everyday borrowers. When they reply back to emails, they do not give out the contact info and the names of the people that work there.

10. Their customers service was bad, they do not call you back when you asked them to call you back.

11. Their trust pilots reviews is high because they make their clients to make the review right away after they get their funds, that is when they still do not know what they are getting themselves into yet. The clients are happy that they just received the money so they give out good reviews to Hometap initially. But later on, they will be shocked to find out how much it costs them.

12. I requested for the 2nd appraisal report XXXX  but Hometap refused to give it to me a copy. 

Since the day I had taken out the equity of my house, my financial condition has not got better but the opposite happened. I wish that I did not have to take out the investment that they had offered to me. I have the first mortgage of $ XXXX and I am not rich. I have my mom and my younger brothers to take care of. If Hometap takes over 45 % of my home equity, I will not have enough money to survive and be homeless, along with my family. We will not have the money to buy another place.

I am very concerned of my situation and Im hoping that you could help me to get this resolved with Hometap because they do not listen to my requests to settle with no interests. I do not know how I am going to pay back, because I want to stay in this house. I have been having weak health and so is my mother. My father had passed away in XXXX of XXXX very sad for my family situation. I have nightmares of loosing my house almost every night. My mother as well. Its quite sad. 

I went into getting the investment with Hometap because I trusted them of investing along with me on the appreciation of my house, and if I loose they would loose with me. I thought having no payments for ten years would benefit for me. 

Their marketing offers had made me to brushed aside of whats the worse that could happen?. They later advise me to consult with tax attorney and tax advisor, however, they should have told me the information up front. 

Attached are some of the documents that they had me signed on the second investment. I was terrified and cancelled. 

Im do not have any other house. And this is the only house that I have for my family. My mother is sick and unable to work, I dont have enough money to cover the mortgage. Please help!

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation