Setpoint lands $43m Series A


Setpoint, a New York-based firm building infrastructure for modern real estate transactions, has scored $43m in a Series A round.

The round was led by Andreessen Horowitz and saw participation from Henry Kravis, Spencer Rascoff, Fifth Wall, 645 Ventures, LiveOak Venture Partners, ATX Venture Partners and Capital Factory.

According to FinSMEs, Setpoint provides a capital and technology platform that enables proptech and asset-backed borrowers to offer home buying and credit options to consumers.

The company is building the next-gen infrastructure for real estate and asset-backed lending. The software makes warehouse transactions instant and acts as the funding operating system for originators: it verifies and stores documents, automates interest rate calculations, and digitizes assets like homes or autos.

Setpoint claims in 2023, it will enable 100,000 home transactions by powering SFR, I-Buying, Power Buying, Fractional Ownership, Rent-to-Own, and other models that make buying, selling and renting a home easier, faster and more accessible.

The firm said, “Behind many of life’s most important transactions, from buying or renting a home to starting a business or using a credit card, is a complex system of trust and credit. Each day, billions move between warehouse lenders like Goldman Sachs and companies like Sofi that originate loans. These transactions are powered by email, Excel, paper documents and software developed in the 1980s. Errors and friction drive up the cost to lend or borrow. As a result, consumers and businesses lack equal access to trust and credit.

“Our software is the funding OS for originators, verifies and stores documents, automates interest rate calculations and digitizes assets like homes or credit card loans. We make these warehouse transactions instant, automated and error free. Setpoint will make credit more widely available and the underlying assets and loans more liquid, which will drive down costs for lenders and borrowers.”

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