Returns Over $220M to Investors; Launches Investor Platform for Individuals
SAN FRANCISCO, CA--(Marketwired - Apr 11, 2016) - LendingHome, the leading mortgage marketplace lender, today announced at LendIt 2016 that it has funded over $550 million in mortgage loans and grew loan originations 6x in 2015 vs. 2014. Coupled with this key milestone, the company has returned over $200 million in principal and $20 million in interest to investors. To date, LendingHome is the largest mortgage marketplace in the U.S. enabling real estate investors and entrepreneurs to purchase, rehabilitate, or rent out homes across America.
Building on this momentum, the company also launched an investor platform for individuals. It gives accredited investors access to a marketplace with the same short-term, high-yield real estate assets that were previously only available to LendingHome's institutional investors.
Additionally, in March, a privately placed securitization of LendingHome assets was completed in the market. This further validates the company's business, provides greater transparency into the company's portfolio performance and expands the buyer base and liquidity of the bridge loan asset class.
"We're excited to fund more loans to the many real estate investors and entrepreneurs not served by banks who are revitalizing homes and neighborhoods across the country," said Matt Humphrey, co-founder and CEO of LendingHome. "The results for our institutional capital partners speak for themselves. And we're now able to give individual investors access to these same high-quality, institutional-grade real estate assets with the launch of our new investor platform."
Investor Platform for Individuals
The investor platform for individuals goes beyond traditional credit and valuation analysis to ensure best-in-class loan performance. At the same time, its sophisticated proprietary technology platform allows for a streamlined and transparent experience.
Individual investors can access LendingHome's marketplace with a minimum opening balance of $50,000 and a minimum investment of $5,000. Investors benefit from fractional notes backed by mortgages that yield upwards of 10 percent on average. They also receive immediate monthly cash flows and the ability to diversify across hundreds of investments.
"Unlike other FinTech platforms that offer investments backed by unsecured loans, LendingHome provides an opportunity to participate in the market for senior secured, collateralized mortgage loans backed by real assets," said Marc Katz, founder and managing partner of Aesalon Capital Management LLC in Chicago, Ill. "We are impressed by the LendingHome team's real estate and mortgage lending experience, their priority on strong underwriting and the attractive yield. These aspects are equally important to us as we build and diversify our LendingHome portfolio and grow our relationship with the company."
With LendingHome's investor platform, individuals can either browse the marketplace and select individual investments to build their own portfolio, or set criteria and diversify automatically through an auto-invest feature. LendingHome fully funds all loans on the platform first through its rigorous underwriting process, and then offers fractional notes to individual investors. LendingHome is currently only accepting investment from individuals and entities who meet the SEC's criteria for accredited investors. For more information, go to: www.lendinghome.com/invest.
LendingHome reimagines the traditional mortgage process to transform it into a fast, transparent, and reliable marketplace for borrowers and investors. It does this through its proprietary technology platform and team of seasoned real estate investment experts. LendingHome serves borrowers looking for financing to purchase or refinance residential real estate properties. At the same time, it serves institutional and individual investors looking for access to attractive high-yield real estate assets. Based in San Francisco, California, LendingHome has 200 employees and has raised $109.3 Million in funding with leading investment from Renren Inc., Ribbit Capital, Foundation Capital, and First Round Capital. To learn more, go to www.lendinghome.com.