Better.com, one of the fastest-growing homeownership platforms in the country, today announced a $200 million Series D round of funding. L Catterton served as lead investor, joining existing shareholders Activant Capital, Ally Financial, American Express Ventures, Ping An Global Voyager Fund, and 9Yards Capital in the round.
“Better was founded to help eliminate unnecessary barriers to home financing,” said Vishal Garg, CEO and founder of Better.com. “We’re committed to working tirelessly for our customers, growing our team and building out our technology to provide them the best possible experience when pursuing homeownership.”
The new investment round comes amid a period of significant growth. Over the last year, Better has grown its funded loan volume over 4x.
“We’re excited about new and existing investors continuing to support our mission to make homeownership simpler, faster and more accessible for all Americans,” Garg added.
Founded in 2016, Better digitized the mortgage process by offering a commission-free, transparent, digital model that utilizes technology to make the process of financing a home more efficient.
“Better.com has overhauled the process of getting a mortgage, making the process faster, easier and cheaper for Americans. We’re proud to support them,” said Michael Farello, partner at L Catterton.
Better’s rise as a leading online lender comes at a time when 73% of American consumers are embracing FinTech as the “new normal” with 67%1 reporting a plan to continue managing most of their finances digitally after COVID-19.
In addition to its mortgage offering, Better is also streamlining the fragmented home-financing journey by offering clients integrated access to title insurance, homeowners insurance, and leading real estate agents across the country on its platform.
Founded in 2016, Better.com is a digital-first homeownership company whose services included mortgage, real estate, title, and homeowners insurance. To date, Better.com has funded $25B in home loans and provided over $7B in cumulative coverage through Better Cover and Better Settlement Services, the insurance divisions of Better.com. Better.com has raised over $400M in equity capital since inception and is backed by L Catterton, Kleiner Perkins, Goldman Sachs, American Express Ventures, Activant Capital, Ally Financial, Citi and other investors. The company was ranked #15 on CNBC’s Disruptor 50 2020 list, as well as being listed to Forbes FinTech 50 for 2020. For more information, follow @betterdotcom.
1Based on the results of an online survey conducted by The Harris Poll on behalf of Plaid. This survey was conducted in the United States from July 16-27, 2020, among 2,008 individuals, ages 18 and older.