Home Equity Agreement in Florida
Explore Another Way to Access Your Home Equity
About Home Equity Agreements in Florida
A Home Equity Agreement, often called an HEA, gives eligible homeowners funds upfront in exchange for a future settlement payment tied partly to their home’s value. These agreements typically don’t require monthly payments to the provider, but fees and a final settlement payment still apply.
This may be an option if you want to access equity without adding a monthly loan payment. Settlement is generally due when you sell the home, reach the end of the agreement, or experience another event specified in the contract. Refinancing may also require settlement or the provider’s approval.
At Select Home Loans, we help Florida homeowners understand available home equity agreement options and compare them with other ways to access equity. We’ll explain the costs and responsibilities so you can decide what fits your plans.
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Why choose Select Home Loans?
- Diverse mortgage options: Conventional, FHA, VA, Reverse Mortgages, Jumbo, Non-QM Loans, HELOC, Second Mortgages, and DSCR Loans.
- Trusted reputation: A+ Rated and accredited by the Better Business Bureau.
- Customized service: Solutions crafted to meet your specific requirements.
- Established credibility: A reputation built on trust and experience.
Is a Home Equity Agreement Right for Your Florida Home?
The amount you receive today is only one part of the decision. We help you review the provider’s fees, valuation method, settlement calculation, and agreement term, including how changes in your home’s value could affect what you owe.
Your final settlement may be significantly more than the funds you initially receive. Planning for that payment matters, whether you expect to sell, refinance, or use other funds to settle. You’ll also remain responsible for your existing mortgage, property taxes, insurance, maintenance, and other required property charges.
We’ll help you compare an HEA with available HELOC, fixed second mortgage, or reverse mortgage options, where appropriate. You’ll have time to ask questions, review the differences, and choose your next step without pressure. Eligibility and final agreement terms are determined by the provider.
Frequently Asked Questions
Do I still own my home with a Home Equity Agreement
Yes, you retain ownership when you enter the agreement. The provider typically records a lien or another contractual interest against the property to secure its rights. You’ll remain responsible for your mortgage, property taxes, insurance, maintenance, and other agreement requirements.
Are there really no monthly payments
These agreements typically don’t require monthly payments to the provider. However, that doesn’t mean there’s no cost. Fees and a future settlement payment apply, and your existing mortgage and other housing expenses continue. We’ll help you understand both the upfront funds and the future obligation.
Will I have to sell my home to settle the agreement
Not necessarily. Depending on the agreement, you may settle using savings, proceeds from a home sale, or financing you qualify for at that time. Future financing isn’t guaranteed, so having a realistic settlement plan matters. If you can’t settle when required, you could have to sell the home or face enforcement under the contract.
How much will I owe when the agreement ends
The settlement amount depends on the provider’s formula, your home’s value, how long the agreement has been in place, and any applicable adjustments or limits. It may be significantly more than the amount you originally received. We’ll help you review examples so you can see how different outcomes could affect the cost.
Can I qualify if I’m self employed or retired
Yes, options may be available even if your income doesn’t come from a traditional paycheck. Home Equity Agreement providers may evaluate income differently from mortgage lenders, with eligibility also depending on your equity, credit, and property.
We’ll also help you explore alternatives. If you work for yourself, a bank statement mortgage may offer another way to qualify. If you’re retired, a reverse mortgage may be worth considering if you meet the age and other requirements. Together, we’ll compare the costs, responsibilities, and fit for your goals.
Can I sell or refinance before the agreement ends
You can generally sell before the term ends, with the agreement settled from the sale proceeds. Refinancing may require the provider’s approval or settlement of the agreement. We’ll help you review those terms, including any minimum settlement amounts or early settlement provisions, before you commit.