On Tuesday, online mortgage lender Better.com confirmed it closed on a $200 million Series D round led by L Catterton, with participation from existing investors including Activant Capital and American Express Ventures.
Founded in 2016, Better.com aims to improve the mortgage industry with its technology. The company claims that its platform aims to help its users save time and money when searching for mortgage, real estate, title and homeowners insurance because they are doing it completely online. To date, the company says it has funded $25 billion in home loans, and counts industry giants like Goldman Sachs and American Express as its backers.
Unnamed sources familiar with Better.com told Bloomberg that, as of this latest round, the company is valued at about $4 billion, indicating that consumers are managing their finances online more than ever.
Indeed, Better.com says this latest funding comes at a time of “significant growth,” with its funded loan volume growing 4X in the last year. The company attributes this growth to a larger shift toward fintech as the “new normal,” saying 67 percent of Americans plan to continue managing their finances digitally even after the pandemic is over.
“Better was founded to help eliminate unnecessary barriers to home financing,” CEO and founder Vishal Garg said in a statement shared with Built In. “We’re excited about new and existing investors continuing to support our mission to make homeownership simpler, faster and more accessible to all Americans.”
Going forward, Garg says this fresh funding will help the company continue to build out its technology and grow its team. Right now, Better.com has more than 75 open tech positions available at its NYC headquarters, and dozens more at its various offices around the country.