Garg's Home ownership Platform Better.com closes Series C
Better.com closes 160 million USD Series C funding, and planning to accelerate investment in product development this year.
FREMONT, CA: The homeownership platform in the United States, Better.com recently closed its Series C funding with backers including Ally Financial, Citi, and American Express. The new capital values the company at “north of $600 million.” The other participants who joined existing shareholders Goldman Sachs, Pine Brook, and Kleiner Perkins are Activant Capital, Ping An Global Voyager Fund, Ally Financial, Citi, AGNC, Healthcare of Ontario Pension Plan (HOOPP) and American Express Ventures.
Better.com board member, investor, and Activant Capital founder Steve Sarracino said in the statement that the end-to-end digital solution of Better.com is changing the way consumers purchase a home by simplifying the mortgage process. It is also affecting billions of dollars’ worth of home sales. The company is overtaking the way millions of Americans make the most meaningful investment of their lives.
Vishal Garg came up with the idea to create Better.com in 2016 when he lost a home to an all-cash buyer due to a slow and antiquated traditional mortgage process. He started Better.com to digitize the mortgage process, which can eliminate commissions, fees, unnecessary steps, and time-wasting branch appointments. Now the customers can upload and eSign documents, get loan estimates in seconds, and a pre-approval within minutes.
Vishal Garg said in a statement that this capital raised by the company would accelerate its investment in product development. It will also expand the team and scale the platform to continue making it easier for borrowers to get home financing.
Since 2016, Better.com has funded more than $4 billion in loans and has grown at least three times in the last year. Recently the company funds 375 million USD in mortgages per month. The current revenue run rate is 120 million USD, which is four times more than the $30 million; it was this time last year.