Snapdocs raises $60M amid record demand for mortgages

Mortgage-processing firm has seen a boom in business thanks to low rates

National /
Oct.October 13, 2020 11:15 AM
Snapdocs CEO Aaron King (Snapdocs; iStock)

Snapdocs CEO Aaron King (Snapdocs; iStock)

The mortgage business is booming, and so are companies that help homebuyers manage the application process.

One of those firms, Snapdocs — which digitally manages the mortgage process and other paperwork — recently raised $60 million in new equity funding due to increased demand for its business, TechCrunch reported. Its new backers include Lachy Groom Maverick Ventures and DocuSign.

The company saw 170,000 home sales in August, totaling about $50 million in deals. It projects to close 1.5 million deals this year, which is almost twice its 2019 volume.

Demand for mortgages and homes has skyrocketed this year, as rates dropped to record lows at just above 3 percent for a 30-year fixed mortgage. In August, home sales for both existing and newly built homes reached 14-year highs.

On top of originations, many mortgage holders want to refinance their loans to reduce their interest rates. The Mortgage Bankers Association’s refinance index increased 8 percent, seasonally adjusted, in the first week of October, compared to the prior week. That’s the highest level the index has reached since mid-August, and that figure marks a 50 percent year-over-year increase.

[TechCrunch] — Keith Larsen 


Related Articles

arrow_forward_ios
Nicole Oge, Casa Blanca founders Hannah Bomze and Erez Zaurer (Getty, Casa Blanca)
Former Elliman, WeWork marketing chief joins “Bumble for homes” startup
Former Elliman, WeWork marketing chief joins “Bumble for homes” startup
From left: Nikki Pechet of Homebound, Assaf Wand of Hippo Insurance, The Real Deal's Hiten Samtani and Brendan Wallace of Fifth Wall and Max Simkoff of Doma (Wallace via Jeff Newton)
Unicorn founders hold court on proptech’s resi revolution
Unicorn founders hold court on proptech’s resi revolution
Federal Reserve Chair Jerome Powell (Getty)
Traders eye Fed pullback on mortgage bonds
Traders eye Fed pullback on mortgage bonds
Masayoshi Son and Katerra's founders Fritz Wolff, Jim Davidson and Michael Marks. (Getty, Katerra)
Inside Katerra’s final days
Inside Katerra’s final days
1133 Sixth Avenue, 114 West 47th Street, 537 Greenwich Street and 55 Broadway (Tdorante10/Wikimedia, Durst Organization, Easter Consolidated Google Maps)
These were the largest Manhattan real estate loans in May
These were the largest Manhattan real estate loans in May
Real Estate EFTs See Investment Amid Pandemic Recovery
Why investors are rushing into real estate ETFs
Why investors are rushing into real estate ETFs
Pacaso’s Spencer Rascoff and Austin Allison (iStock, Pacaso)
Second-home startup Pacaso to offer agents stock
Second-home startup Pacaso to offer agents stock
Blooma founder Shayne Skaff (LinkedIn, iStock)
CRE fintech startup Blooma nabs $15M in funding
CRE fintech startup Blooma nabs $15M in funding
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...