House Bill 14-64 would license home-equity-sharing originators; supporters say oversight needed, opponents call product predatory

Committee staff summarized House Bill 14-64 as creating a licensing and regulatory framework for home equity sharing agreement (HESA) originators and imposing a set of consumer protections and prohibitions.

Staff briefing and key elements - Megan Mulvihill, staff to the committee, said the bill would establish a new chapter requiring HESA originators to obtain a license from the Department of Financial Institutions beginning July 1, 2026. Key requirements described by staff include: - A three‑day cancellation right for homeowners. - A homeowner’s beginning home equity must be at least 10%. - Appraisals must meet industry standards and be performed by an independent third-party appraiser unless the homeowner consents to an affiliated appraiser. - A cap on the annualized cost of a HESA of 25%. - A list of prohibited acts (for example, charging an early‑settlement penalty or preventing a homeowner from renting the property). - Record-keeping, reporting requirements and cumulative remedies; violations may also be violations of the state Consumer Protection Act.

Supporters’ testimony - Industry representatives and some HESA providers said licensure and clear rules would weed out bad actors and give consumers a regulated option. Speakers representing Hometap, Unlock Technologies and Point argued the…