The trusted authority on the shared equity product industry
Committed to protecting and promoting an innovative home equity alternative
Shared equity products (SEPs), also known as home equity investments or home equity sharing agreements, provide a flexible way for homeowners to access the equity they have built in their home without taking on debt or incurring monthly loan payments.
As interest in these products grows, the Coalition for Home Equity Partnership (CHEP) is focused on increasing SEP education and advocating for a regulatory framework that protects consumers while preserving access to these valuable solutions.
The truth about shared equity products
SEPs are innovative financial products based on equity rather than debt. Instead of borrowing money, homeowners sell a percentage interest in the future value of their home in exchange for an upfront lump sum payment.
SEPs are different from traditional mortgage loans, reverse mortgages, home equity loans or home equity lines of credit in several key ways. SEPs ensure both investors and homeowners benefit from future home appreciation, proving interests are aligned, while homeowners remain in control of their asset.
| Feature | Home Equity Loan | HELOC | Shared Equity Product |
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| Monthly Payments |  |
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| Fixed Interest Charges | |
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| Increases Debt | |
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| Credit Score Dependency | |
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The push for tailored shared equity product regulation
Because these products are fundamentally different from other home equity solutions, CHEP and its members believe that the industry must advance a clear regulatory framework that promotes transparency, informed decision-making and responsible business practices while ensuring homeowner choice is not eliminated.
Debt payoff
Home renovations
Education expenses
Rental property purchases
Small business funding
Retirement financing
Because these products are fundamentally different from other home equity solutions, CHEP and its members believe that the industry must advance a clear regulatory framework that promotes transparency, informed decision-making and responsible business practices while ensuring homeowner choice is not eliminated.
Did you know ...
35% of equity-extraction mortgage applications were denied in 2024.
As a result, homeowners look to other options for tapping their equity, including shared equity products.