Better.com announced a fully digital home equity line of credit (HELOC) offering, enabling homeowners to access cash through their equity completely online.
Better says customers can be approved in twenty-four hours or less and close in as little as three days.
The HELOCs are available for primary, secondary, and investment homes, with a maximum $500,000 line of credit and up to 90% of the property value. The product offers a number of benefits over traditional products, including a simple application process, immediate pre-approval, no unnecessary fees, and the ability to keep the existing mortgage rate and pay interest only on what is withdrawn.
“Better’s digital HELOC offerings are a game changer for customers seeking flexibility during a difficult economic climate,” said Ryan Jewison, Head of Better HELOC.
“In a period of rising mortgage rates when personal loans are more expensive than ever, HELOCs provide consumers an opportunity to raise funds with less headache. We are eager to continue growing our suite of homeownership products and making the mortgage process as seamless as possible.”
The product comes on the heels of February’s “Equity Unlocker,” currently available to Amazon employees with vested equity in the company. These employees can finance their homes by pledging their shares.
Better also created a one-day mortgage at the beginning of the year, promising that customers can get pre-approved, lock in a rate, and get a Mortgage Commitment Letter completely online and within 24 hours.
These moves shows that Better is trying to innovate its way out of the trouble it faced in 2022.
The company suffered a year of PR trouble, starting with the now infamous layoffs of 900 employees via Zoom three weeks before Christmas in 2021.
The company has also faced an SEC investigation, a lawsuit for the wrongful firing of a former executive, and multiple deadline extensions for its SPAC merger with Aurora Acquisition Corp.