“Homeowners effectively sell a portion of their home’s equity at today’s price and repay at tomorrow’s,” wrote Homium staff.
“Through shared appreciation home equity loans, Homium introduces a way for homeowners to borrow against their home equity without increasing their monthly debt burden,” wrote Avalanche in an April 15 The tokenized assets are backed by second mortgage loans made to owner-occupied single-family homes. Investors of the HELOC tokens are secured to the title like any other mortgage. Homium pledges that every home is “appraised by a third party, hybrid valuation service” with nationwide loan originators.