The massive mortgage industry is dominated by large banks and nonbanks like Quicken Loans. But tech-focused startups are attacking the antiquated and painful mortgage process and building a variety of tools and services to improve mortgage technology, poor customer service, and slow mortgage approvals.
Using CB Insights data, we identified 12 startups addressing the mortgage tech market. These companies are building peer-to-peer marketplaces, flexible and quick online loans (refinancings as well as home equity loans), along with data tools to expedite the loan approval process, among other services.
Perhaps the most well-known lending startup is Social Finance which lends across several categories including student loans and tops our list of mortgage tech startups ranked by total disclosed funding. LendingHome and loanDepot round our top 3 list as seen below. Renren Lianhe Holdings, the venture arm of Chinese social network RenRen, is getting active in the space. They are an investor in LendingHome, Sindeo, and Social Finance.
|Company||Description||Total Disclosed Funding ($M)||Select Investors|
|Social Finance||Known for student loans, SoFi now provides mortgages and mortgage refinancings with flexible payment choices for customers.||$1.69B||Renren Lianhe Holdings, Softbank, Institutional Venture Partners, Wellington Management, and Third Point|
|LendingHome||Peer-to-peer mortgage lender that claims to complete the loan process in a matter of days, not months.||$103.2M||Renren Lianhe Holdings and Ribbit Capital|
|loanDepot.com||Residential mortgage lender focused on providing customers with refinancings or home equity loans, among other credit services.||$72M||Parthenon Capital Partners|
|Blend Labs||Gathers data sources (digitized pay stubs, tax forms and bank statements) for borrowers to give to their lender.||$42.5M||Formation 8, Founders Fund and Lightspeed Venture Partners, Conversion Capital|
|Credit Sesame||Offers home purchase and mortgage refinancing to customers, among other financial services.||$34.1M||Globespan Capital Partners, Inventus Capital Partners and Menlo Ventures|
|CircleBack Lending||Consumer loan platform that provides mortgages among other financing tools.||$23.9M||Daniel Tierney and Stephen Schuler|
|Sindeo||Provides consumers with guidance, information, and tools to find the right mortgage and lender through the Sindeo marketplace.||$13.6M||Arkadi Kuhlmann, James Liu and Renren Lianhe Holdings|
|Fruitful Finance||Mortgage marketplace for borrowing and lending.||$7.8M||Undisclosed Investors|
|Roostify||Helps lenders process loans faster by tracking information in the mortgage application and closing process.||$5.21M||Wells Fargo Startup Accelerator, Colchis Capital and USAA|
|Lenda||Mortgage refinancing software enables homeowners to compare loan options, complete their application, securely manage documents, and keep track of their loan’s status.||$4M||500 Startups, Lakestar and Rubicon Venture Capital|
|Landbay||UK-based peer-to-peer lender that offers lenders the chance to loan money to property investors.||$2.5M||Omni Partners|
|Better||Mortgage lender where consumers can quickly get a rate quote and get pre-approved in under three minutes.||N/A||Moderne Ventures|
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