MortgageMarket, an SA-based fintech startup has raised $683K in Series A Funding from venture capital firm, IDF Capital. This will allow the startup to grow and expand its operations across South Africa.
As the name implies, MortgageMarket is an online marketplace for home loans. Being the first of its kind in South Africa, the customer-oriented platform proffers financial solutions to customers.
Co-founded in 2019 by Tim Akinnusi, MortgageMarket allows its clients to apply for home loans, compare mortgage offers from top banking institutions in South Africa, helping them get the best home loan deals.
Leaning heavily on technology, the company developed a quick pre-approval tool to give prospective homeowners insights on how much they can qualify in under two minutes. Also, through its bond calculator feature, users can know how much they’re expected to pay back on a monthly basis.
The startup maintains that it pays cash back of up to R25,000 to eligible customers who use its automated online platform to acquire a home loan. Since its launch to date, the company claims to have paid more than R500,000 in cashback to customers.
According to Akinnusi, integrating technologies with financial services has improved the real estate industry globally. As such, savvy customers are taking advantage of the ease, transparency, and control it affords them.
Talking about MortgageMarket’s plan for the funds, Akinnusi, Co-founder & CEO of the fintech startup said,
“We will use the funding to strengthen our operations locally, working alongside our partners and the six largest SA banks,”
“Our platform caters to clients from all corners of the country with no immediate plans for international expansion. We are committed to working tirelessly for our customers, growing our team, and developing our technology to give them the best possible experience when they want to become owners.”
Commenting on the partnership the latest funding has established between MortgageMarket and IDF Capital, the CIO of IDF Capital said,
“MortgageMarket fits perfectly into our portfolio. The company has demonstrated strong traction to date, in addition to developing a healthy sales pipeline and business partnerships.
Above all, we are jointly executing our value creation strategy with MortgageMarket. This will see interesting synergies between MortgageMarket and our other portfolio companies; the result of which will give greater shared value to the market.”
A female-founded entrepreneurial financing firm based in South Africa, IDF focuses on Africa’s SME landscape. Launched in 2008, the investment firm has over R 1.5 billion in assets under management.
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