What to Know Before You Sign

Aspire is a newer name in the home equity investment (HEI) space and operates as a division of Redwood Trust, a publicly traded company founded in 1994.

This Aspire HEI review explains how the agreement works, highlights where Aspire stands out, and covers what you need to know to decide if it's right for you.

R.J. Weiss CFP® Quick Summary: The Aspire HEI is a good option for homeowners with a credit score of 660 or higher. A key feature is its cap, which limits the most you'd effectively pay to 12% a year if you exit within three years (before fees), compared to 18% to 20% with other HEI providers. With its low 3% transaction fee, straightforward pricing, and smaller risk adjustment, Aspire can be a strong choice for qualified homeowners looking for funding over the short to medium term (up to 15 years).

Aspire HEI: Costs, Terms, and Pricing Model

Aspire uses a simple pricing model, which makes it easier to understand your estimated costs early on.

The model is based on how Aspire shares in the change in your home's value.

Aspire starts with a “starting property value” set at 85% of your home's current value.

When you sell your home or buy out the agreement, Aspire takes a share of the difference between that starting property value and your home's value at that time.

Aspire's exact share is calculated by:

• Multiplying that percentage by 3.25
• Determining the percentage of your home's value you take in funding

Here's how Aspire's share looks at different funding amounts:

Aspire then sets caps on the maximum return they can receive, which put a hard limit on how much you repay, no matter how much your home's value increases.

You can think of these caps like an interest rate on a loan — they represent the highest effective annual cost you could pay.

With Aspire, there are caps of:

• A 12% annualized rate (compounded monthly) if you exit within three years.

• 18% annualized (compounded monthly) lifetime cap.

You may pay back much less if your home's appreciation is low, but the cap ensures your cost will never exceed the limit.

Aspire HEI Repayment Examples

Now that we've covered how the agreement works upfront, let's look at some scenarios of how it could play out on the backend.

Let's say your home is worth $500,000 and you owe $250,000 on your mortgage.

Aspire estimates you could access up to $75,000 (15% max), but in this example, you choose to receive $50,000 upfront.

Aspire's pricing is based on your home's future appreciation, but you can estimate your costs in advance.

Here's what you might owe over time, assuming your home grows in value at an average 3.5% per year:

Aspire's share includes your original $50,000 plus their portion of your home's gain in value.

That portion is based on a fixed formula: they multiply the percentage of equity you access by 3.25. In this case, $50,000 is 10% of your home's value, so Aspire gets 32.5% of the appreciation.

They also use a “starting value” that's 15% lower than your appraised value to adjust for risk. So even if your home grows, Aspire's calculation begins from a discounted baseline.

This can then be compared to an effective annual interest rate. For example, if you take out $50,000 and repay a lump sum of $71,538 after three years, that's equivalent to borrowing at about 12.7% annually. Since Aspire caps the rate at 12% for exits within three years, your repayment would actually be limited to about $70,246.

Aspire HEI Pros

• Aspire only takes a share of the change in the home's value, rather than a share of the entire value at the end of the agreement. This approach keeps homeowner and company interests more closely aligned.
• The combination of Aspire's pricing formula and its proceeds cap can make it one of the lower-cost home equity investment options for qualified applicants.
• Aspire applies a 15% risk adjustment to the starting property value, the smallest among companies reviewed. Comparable adjustments from other providers range from 29% to 50%.
• The maximum return Aspire can earn is capped at 12% annually (compounded monthly) if the agreement ends within three years.
• The lifetime cap is 18% annually (compounded monthly), which is lower than many competitors.
• Pricing is presented upfront in a way that allows applicants to see potential costs in various scenarios before committing.
• No fees are charged until the agreement is accepted and closed.
• The transaction fee is 3%, lower than the 3.9% to 4.99% charged by most other originators.
• If a homeowner undertakes qualifying remodeling that increases the property's value, the amount owed to Aspire may be reduced.

Aspire HEI Cons

• The 15-year term is mid-range compared with competitors. Some offer terms as long as 30 years, while others are limited to 10 years.
• Available in fewer states than several other providers.
• Requires a minimum credit score of 660, which is higher than many competitors.
• Maximum funding amount is $250,000, which may be lower than what other companies allow.
• Must repay entire amount back at once (no partial buyouts).

Aspire HEI Key Facts

How The Application Process Works

Aspire's application process is online and can take as little as two weeks from start to funding.

It begins by entering your home address to check eligibility. If your property qualifies, you'll complete a short application that takes about 10 minutes. 

Aspire then runs a soft-pull credit check, with no impact to your credit, to confirm you meet their minimum score of 660. 

If you're eligible, Aspire will ask for documents, a recent mortgage statement, proof of identity, and homeowners insurance. In some cases, a third-party hybrid appraisal is required to determine your home's current value. 

Once everything is reviewed, Aspire sends you an offer package that includes the cash amount, your estimated costs, and how the agreement works. If you accept, you'll sign the agreement at closing, and funds are wired to your account four business days later. 

One notable advantage of Aspire is its standardized pricing structure. With many HEI providers, the upfront estimate can change significantly during underwriting. For example, if a homeowner has a weaker financial profile, the company might take a larger share of appreciation. With Aspire, there is far less variability since contracts follow the same core formula.

Aspire vs. Other Home Equity Investment Companies

After reviewing many of the top home equity investment (HEI) companies, Aspire stands out in a few key ways:

• Higher credit standard which often equates to lower consumer cost. Aspire requires a minimum credit score of 660, higher than most competitors. 
• Smaller risk adjustment can equate to lower consumer cost
• Smaller funding amounts. Aspire limits funding to up to 15% of your home's appraised value, while other providers offer more (20–30%).
• Mid-range term length. Mid-range term length. Aspire's agreement lasts up to 15 years, which is longer than Hometap (10 years) but shorter than Point (which offers up to 30 years).
• Limited availability: Aspire operates in fewer states than competition.
• Backing. While Aspire is a newer company, its parent company is Redwood Trust, a publicly traded firm since 1994.

Aspire vs. Point

Point allows homeowners to access up to $500,000 and offers agreements up to 30 years. While there's no fixed cap published upfront, a maximum return is set during underwriting and included in your offer.

States available: AZ, CA, CO, CT, FL, GA, HI, IL, IN, MD, MI, MN, MO, NV, NJ, NY, NC, OH, OR, PA, SC, TN, UT, VA, WA, DC, WI

Why it could make sense: You want a longer term or larger funding amount, and you're comfortable with more personalized pricing. Read our full Point review. 

Aspire vs. Hometap

Hometap offers funding up to 30% of your home's value with a 10-year term. It doesn't publish a fixed cap on returns, and you must settle the agreement within that 10-year window. 

Hometap is available in more states than Aspire, has more flexible credit requirements, and allows you to access a larger share of your home's equity.

States available: AZ, CA, FL, MA, MI, MN, NV, NJ, NY, NC, OH, OR, PA, SC, UT, VA, WA

Why it could make sense: You need access to more funding or don't meet the credit score required by Aspire. Read our full Hometap review.

Aspire vs. Unlock

Unlock offers home equity sharing agreements with terms up to 10 years and funding up to $500,000. Unlock also allows partial buyouts, giving homeowners more flexibility over time. 

Their credit score requirement is just 500.

States available: AZ, CA, FL, IN, KY, MI, MO, NV, NJ, NM, NC, OH, OR, PA, SC, TN, UT, VA, WA

Why it could make sense: Your credit won't qualify for an agreement with Aspire. Read our full Unlock review.

Is Aspire Legit?

Aspire is a newer player in the home equity investment space, with the platform officially launching in September 2023. That means there isn't yet a large track record of homeowners exiting agreements — something to keep in mind if you're comparing options with longer histories.

That said, Aspire is from Redwood Trust (NYSE: RWT), a publicly traded real estate investment firm with over 25 years in the housing finance industry. Redwood is a major force in mortgage banking and housing credit, with billions in assets and a long-standing reputation in U.S. housing markets.

My Final Thoughts

Having reviewed many of the best home equity investment companies, I find a lot to like about Aspire's program.

In general, if you can qualify for a HELOC or home equity loan, those options are often better.

With HELOC rates hovering around 8% to 9%, Aspire may cost slightly more, but the way repayment is structured can make a difference.

HELOCs usually begin with an interest-only period followed by monthly principal payments, while Aspire requires no payments until the end of the agreement.

For homeowners who struggle to qualify for a HELOC because of income requirements, Aspire offers a practical alternative.

If it is available in your state and you qualify, Aspire stands out as one of the best home equity investment companies to consider.

Who Aspire HEI Might Be Right For

• Homeowners with strong credit (660+ score)
• Those who want upfront pricing without waiting weeks for underwriting
• People seeking short- to medium-term funding, especially with plans to exit in under 3 years
• Homeowners who don't need to access more than 15% of their home's value
• Homeowners who cannot qualify for a HELOC due to income but have good credit (above 660)

Visit Aspire HEI