Core Insights - The artificial intelligence boom presents a multitrillion-dollar investment opportunity, but the real estate sector also holds significant potential, particularly with $35 trillion in home equity available to U.S. homeowners [1][3][14] Real Estate Market Opportunity - U.S. homeowners currently possess an all-time high of $35 trillion in home equity, largely due to rising home values and low refinancing activity [3][13] - A potential decline in mortgage rates could trigger a surge in refinancing volume, possibly reaching trillions of dollars [3][13] Company Analysis: Rocket Companies - Rocket Companies is the leading mortgage originator in the U.S., and a rise in refinancing volume could significantly boost its business [5][6] - In the most recent quarter, Rocket closed on $26.1 billion in loan origination volume, a decrease from $103.5 billion in the same quarter of 2021 when rates were lower [6] - The company is expanding its all-in-one real estate platform and has recently acquired Redfin, with a pending acquisition of Mr. Cooper [7][8] - Rocket has a 97% client retention rate and aims to capture a larger market share in a highly fragmented mortgage market, which sees $5 trillion to $6 trillion in home sales annually [8] Company Analysis: Upstart - Upstart focuses on improving loan repayment predictions compared to traditional credit scoring models, utilizing extensive data points [9] - The company is expanding into auto loans and home equity lines of credit (HELOCs), with home loan volume increasing by 52% sequentially in the first quarter [10][11] - Upstart's current annual run rate for HELOC origination is about $160 million, representing a small fraction of the overall market opportunity [12] - Capturing even a small percentage of the HELOC market could yield significant benefits for Upstart if interest rates decline [12][14]