RenoFi, which helps consumers to find home renovation loans, has reportedly secured $6.4m in its Series A funding round.
The investment round was led by Canaan Partners, with contributions also coming from Comcast Ventures and First Round Capital, according to a report from Housing Wire. With the close of the round, the FinTech has raised a total of $7.15m in funding.
The company helps consumers to use the renovation value instead of the home’s current value, enabling them to borrow more money and at the lowest rates. The company is not a lender. Instead, it has partnered with lenders to offer RenoFi Loans.
RenoFi co-founder and CEO Justin Goldman said, “Every other major purchase in our life has a purpose-built financial tool that goes along with it. You buy a car; you get a car loan. You go to medical school, you get a med school loan, you buy a house you get a mortgage. But when it comes to major home renovations, most people use cash, and our thesis is it’s because there’s no purpose-built financial product for it.”
Last year, Canaan Partners led the $10m seed round of Bond Financial Technologies, which is streamlining the integration between brands and banks.
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