US-based mortgage marketplace lending platform LendingHome revealed a total of $109.3m of funding yesterday including a $70m series C round led by social network operator Renren.
Founded in late 2013, LendingHome operates an online mortgage lending platform it claims closes loans five times faster, and at a third of the processing cost of the industry average.
The company has partnered with credit funds, private equity firms, family offices and university endowments, and aggregates deals so prospective financiers can invest their money in a bulk of reliable mortgages. It has processed $100m in loans since the platform’s launch in April 2014.
Joseph Chen, chairman and CEO of Renren, said: “We saw LendingHome execute from zero to over $100m in loans in under a year in an $8 trillion US market opportunity.
“They have all the pieces in place: the best technology, a massive market, large-scale traction, a world-class team; LendingHome is a clear winner in marketplace lending.”
A regulatory filing indicates that the Renren-led series C closed on March 20th. LendingHome’s $11.3m series A round was led by venture capital firm Foundation Capital in 2013 and its $28m series B round by Ribbit Capital in September 2014.
LendingHome’s backers also include SAB Capital, Colony Capital, Cowboy Ventures and undisclosed angel investors.
James Herbert, LendingHome’s co-founder and president, said: “With the support of our large base of existing institutional investors and over $100m in equity, we are in a strong position to introduce new products and significantly broaden our capital markets relationships in 2015.”
Renren’s investment in LendingHome is not it first in the sector. The company invested $49m in alternative loans provider SoFi in 2012, returning for the company’s $80m series C round in April 2014.