Balance Homes Relaunches With $30m Investment

Balance Homes announced its relaunch on Tuesday, backed by a $30 million investment led by Falco Group, as it seeks to expand access to alternative home equity solutions amid mounting affordability pressures.

The company said the funding will accelerate its mission to help homeowners remain in their homes by offering more flexible equity-sharing options.

The relaunch comes more than a year after EasyKnock Inc. — the real estate company known for sale-leaseback deals that had acquired Balance Homes in December 2023 — abruptly shut down. EasyKnock faced legal challenges from consumers and regulators in multiple states.

Now, Balance Homes is working to build up what it lost after the closure. CEO Aamer Abdullah told HousingWire that to do so, he had to gather a group of investors, including Falco, to acquire the existing Balance portfolio, along with its intellectual property, technology platform and branding.

Abdullah, who has spent nearly 25 years in the single-family housing and proptech space, said the past year was spent stabilizing and servicing the existing portfolio.

“Through last year, what we’ve been doing is really … understanding how to best work with the existing portfolio consumers and make sure that they are successful,” he said.

“That allowed us to get to a point where we really understand how to operate the portfolio and how to work with consumers who are in this position. Now we can relaunch it and open this back up to more consumers.”

U.S. households are facing record debt levels and tighter credit conditions. Total household debt rose by $197 billion in the third quarter, reaching a record $18.59 trillion, according to the Federal Reserve Bank of New York’s midyear 2025 Household Debt and Credit Report. Mortgage balances account for more than $13 trillion of that total.

Meanwhile, about half of applications for home equity lines of credit were denied in 2024, according to the Consumer Financial Protection Bureau (CFPB).

“Sources of relief for your average homeowner to stay in their home while solving debt challenges are limited,” Abdullah said. “The premise of the company has always been to provide that relief through co-ownership. That was true when the company was first founded, and it is just as true now as we relaunch and an affordability crisis looms.”

Balance Homes’ equity-sharing model targets homeowners burdened by rising debt who may have substantial “trapped” equity but few viable ways to access it. The company said its approach is designed to prioritize long-term stability and keep families in their homes.

Unlike co-buying models that help consumers purchase homes, Balance Homes focuses on homeowners who already own property and have built up equity but lack access to traditional credit products. Many of its customers are “house rich” but credit-constrained due to life events such as job loss, medical emergencies or divorce, Abdullah said.

“They might be sitting on $100,000 or more of equity that they cannot access,” he said. “The only way they can touch that equity is to sell their home, and that shouldn’t have to be the only option.”

Under Balance Homes’ model, the company provides an equity release by becoming a co-owner, typically taking a majority stake while allowing homeowners to retain meaningful ownership. The proceeds are often used to pay down existing mortgage balances and consolidate high-interest debt, with the goal of reducing monthly payments and stabilizing household finances.

The partnership is structured as a seven-year agreement, during which time homeowners can buy out Balance Homes at fair market value, refinance with a traditional mortgage, sell the home on the open market or ask Balance Homes to purchase the remaining equity.

“With the support of Falco Group, there is a shared belief in more options and more compassion for homeowners as Balance Homes returns to market. When it comes to Americans and their homes, we firmly believe there is a good-faith partner. It’s your family home, and it’s your family’s future,” Abdullah said.

Abdullah disclosed that Balance Homes quietly and officially relaunched in December 2025 and has started marketing directly to consumers. The company said it expects to close its first new transactions this month, with additional deals in the pipeline for February. It currently operates in six states and plans to expand into additional markets in the coming months.

“We believe Balance Homes is building a model that reflects the realities many homeowners face today,” said Richard Anderson, managing director at Falco Group. “Access to home equity should not be limited by rigid financial structures or temporary setbacks. Our investment supports an approach that gives families flexibility, breathing room and a clearer path through moments of uncertainty.”