Nonbank HELOC lenders gain market share as tappable equity hits $11 trillion
Nonbanks grew HELOC originations about 140% from 2023 to 2025, versus 7% to 20% at depositories, a new white paper says
The recent surge in nonbank HELOC lenders gaining market share is a significant development in the real estate finance landscape. With tappable equity hitting $11 trillion, homeowners are increasingly looking to tap into their home's value to fund renovations, expansions, or other projects. This trend is particularly relevant to the architecture industry, as homeowners may be seeking to work with architects to design and build additions or upgrades to their properties.
The growth of nonbank HELOC lenders is notable, with a 140% increase in originations from 2023 to 2025, compared to a much more modest growth of 7% to 20% at traditional depositories. This shift suggests that nonbank lenders are becoming a more significant player in the home equity market, potentially offering more flexible or attractive terms to homeowners. For architects, this may mean that clients are more likely to be seeking financing options outside of traditional banking channels, and may be looking for guidance on how to navigate these new lending options.
As the market continues to evolve, it's worth watching how the growth of nonbank HELOC lenders will impact the architecture industry. Will architects see an increase in clients seeking financing for specific projects, such as kitchen remodels or additions? How will architects need to adapt their business models to work with these new lenders and their clients? Keeping a close eye on these trends will be essential for architects looking to stay ahead of the curve and capitalize on the growing demand for home renovations and upgrades.
Originally reported by housingwire.com. ArchitectureNews adds analysis for real estate & property readers.