UpEquity, a mortgage platform that aims to improve the home purchasing experience, has closed its Series A round on $25m.
Next Coast Ventures served as the lead investor to the round.
This Series A round was comprised of $7.5m in equity and $17.5m in venture debt.
With the proceeds, the FinTech plans to increase product and business development.
Texas-based UpEquity supplies buyers with free cash offers to boost purchasing power for homebuyers. Instead of needing to have an existing house for sale, the company provides both a cash offer and a mortgage. It claims it originated $100m in mortgages in 2020.
The company, which was founded in 2019, operates in Texas, Colorado, Florida and California.
Next Coast Ventures managing director Thomas Ball said, “As real estate continues to evolve in the face of limited supply and tight competition, UpEquity is at the helm of PropTech’s growing capabilities.
“Most innovation has focused on the front end, but until now, nobody has expedited what happens after the borrower submits an application. UpEquity has the team, talent and technology to not only succeed, but to disrupt and emerge as the leader in the mortgage lending marketplace.”
Last month, fellow PropTech platform Own Up closed a $12m investment to help it hire more staff. The company connects homebuyers with lenders, helping to accelerate processes and cut out the mortgage salesperson.
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