SimpleNexus raises $108 million in Series B round
Mortgage fintech SimpleNexus has completed a Series B capital raise, adding $108 million in new funding.
The funding round was led by Insight Partners and included minority investor TVC Capital, which is headed up by former Ellie Mae board member Jeb Spencer.
SimpleNexus declined to provide a post-round valuation for the company.
This is Insight Partners' second investment in SimpleNexus. Back in June 2018, it made an initial investment of $20 million.
Among Insight Partners' previous mortgage industry investments was Simplifile, which was acquired by Intercontinental Exchange in May 2019. It was also an investor in mortgage wholesaler LoanCity.com.
In October 2020, Insight Partners invested in Zest AI, which is working with Freddie Mac to test artificial intelligence in mortgage loan underwriting.
TVC is heavily invested in ReverseVersion, which offers reverse mortgage origination technology. It also invested in Del Mar Database and its follow-up iteration, Del Mar Datatrac, which Ellie Mae acquired in 2011.
SimpleNexus, which is based in Lehi, Utah, provides a communications app that links the various players in the mortgage process — borrower, real estate agent, loan officer and settlement agent — across multiple systems.
Its technology is used in 13% of all home loans originated in the U.S., with a user base of more than 29,000 loan originators, 123,000 real estate agents and more than 3 million borrowers, SimpleNexus said, adding that its technology has handled over 13 million loans totaling over $3 trillion in volume since rollout in 2012.
"Our vision is to hone the entire home-buying journey from the borrower's first contact with a Realtor to the closing table and beyond," Cathleen Schreiner Gates, SimpleNexus president, said in a press release.
SimpleNexus recently created a two-way interface with Unify's customer relationship management technology. The integration takes loan application information entered through SimpleNexus and creates a new record in the CRM. Unify users can also take information from that system and create a SimpleNexus file.
There are also consumer-facing ties. Back in November, SimpleNexus added an integration with Progressive Insurance, allowing homebuyers to obtain a homeowners policy quote through the app.
Among the privately held mortgage industry companies that raised new funding during the second half of 2020 were Blend in $75 million Series F round in August; Better.com in a $200 million Series D round in November; and Qualia, which did a $65 million Series Dround just before the end of 2020.