Top overruns of the renovation activation platform $ 10 billion on Demand for a Renovation Loan
PHILADELPHIA , April 4, 2022 / PRNewswire / – RenoFi, the company activating the renovation platform, announced today $ 14 million in Series A financing. The round serves as a strong support for RenoFi’s vision to empower lenders to offer the best financing solutions in their class that best meet the needs of current homeowners. Canaan led the round with new entries from Nyca Partners and CMFG Ventures. The company will use the funds to escalate its business and product roadmap, including the first of its kind renovation activation platform for lenders.
The time for lenders to upgrade their product suite and better meet the needs of today’s homeowners who are renovating has never been more critical. With an aging housing stock, record lows, a global pandemic that turned homes into permanent hybrid workplaces and the largest generation in American history to enter the peak years of the housing market, it marks the decade of refurbishment. But lenders are very unprepared and need help to take advantage of the $ 400 + + that homeowners spend annually on renovations and repairs.
The two most popular financial products used to finance home renovations – cash refinancing and home equity loans – are not designed for renovations. While they may work well for those who have stayed in their homes for a decade or more, they do not meet the needs of recent home buyers who have not yet raised equity. To solve this problem, lenders must offer financing solutions specifically designed for renovations.
The RenoFi Renovation Activation Platform is the first and only end-to-end loan creation and sponsorship platform specifically designed to enable renovation lending. At the heart of RenoFi’s technology platform is the Renovation Underwriter (RU) which allows lenders to provide loans based on the value of a home after renovation (as opposed to the current value of a home with a traditional mortgage), helping lenders to increase their borrowing power customers by 11 times on average.
“We believe more than ever that RenoFi will become the platform to power de facto home remodeling products, a $ 400 billion + market that has not been serviced to date,” he said. Brendan Dickinsongeneral partner in Canaan, which again led the Renofi seed June 2020. “The team’s progress since its last round has been incredibly strong and speaks to the great future.”
RenoFi completed its first full year of operation in 2021, tripling the number of employees to more than 60 and working with more than a dozen new lenders who now offer loans with RenoFi in 49 of the 50 states. Since its inception, homeowners have created more than $ 10 billion in the demand for renovation financing from lenders supported by the RenoFi platform.
“Historically, paying for this renovation is a whole journey in itself,” he said Justin Goldman, co-founder and CEO of RenoFi. “Every other big purchase we make in our lives has a smart and easy financing solution. Buy a car? Get a car loan. Buy a home? Get a home loan. Go back to school? Get a student loan. Each of these is a specific financial product for It’s remarkable that until now there was no such thing as home remodeling.We decided from the start that the best way to really help homeowners was to build the rails that America’s major lenders needed to bring this new product line to life. “With the reception we have from the lenders, it is clear that we have made the right choice.”
To learn more about the RenoFi platform and loan offers, visit https://www.renofi.com/.
Renofi is the company that activates the renovation platform that enables lenders to offer the best financing solutions in their category that best meet the needs of today’s homeowners. The company offers the unique end-to-end loan creation and lending platform specifically designed to allow renovation lending, allowing homeowners to borrow against the value of their home after renovation, instead of the current value of the home, and increasing the loan value. valid by 11 times on average. The company is backed by leading investors, including Canaan, First Round Capital, Nyca Partners & CMFG Ventures. To learn more, visit https://www.renofi.com/.