Better acquires UK mortgage broker support

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Digital mortgage startup Better acquired UK mortgage broker Trussle for an undisclosed amount. according to the press release on Monday… The acquisition will help Better enter the $ 2.08 trillion UK mortgage market, which includes England, Scotland, Wales and Northern Ireland.

Vishal Garg

“Better eliminates the high financial costs, huge transaction friction, tyranny and mind-boggling bureaucracy that comes with obtaining a mortgage and buying a UK home through a major bank,” Better founder and CEO Vishal Garg said in a prepared statement. “We have researched the UK market and were surprised to see how we can make it so much better for first-time consumers buying and financing a home.”

Better said his market research found that UK home buyers spend months trying to get funding to buy a home. The company said that due to the tedious application process and the fact that “consumers are paying thousands of commission points”, the share of homeowners in the UK has dropped 10 percent over the past decade to 63 percent.

“We found like-minded people on the Trussle team, who developed a platform that we can work with to help every Briton own a home,” added Garg. “Making home ownership affordable and accessible to all clients is a key principle of a well-functioning credit system, and we are here to help Trussle grow and improve.”

Founded in 2015, Trussle has closed $ 3.7 billion in mortgages and refinancing for UK home buyers and homeowners, with $ 1.5 billion approved in the past 12 months. The platform cooperates with over 90 lenders and uses proprietary algorithm to match consumers with the best option and alert them to major refinancing opportunities.

Ian Larkin | Credit: LinkedIn

Trussl won the British Bank Awards for Best Mortgage Broker of 2021 and has raised over $ 20.2 million in funding from Goldman Sachs PSI and Propel Venture Partners.

“Both Better and Trussle were founded on the understanding that consumers are increasingly choosing to use online services to shop and make big purchases for life,” Trussle CEO Ian Larkin said in a prepared statement. “It’s been 27 years since the launch of the World Wide Web and most consumer industries have already embraced it, but the UK mortgage market is still characterized by analog systems and processes.”

“We are very pleased become part of Betterand we are confident that Trussle’s future looks brighter than ever as we are part of a large and growing international organization that shares our commitment to making home ownership simpler, more equitable and affordable for all, ”he added.

Trussle will retain its current leadership team as they help to better navigate the UK mortgage market by providing reliable data on consumers, credit prices and risk acceptability. Meanwhile, Better will help Trussle build business relationships with real estate agencies, developers and financial services companies, and expand into insurance and title deeds, the companies explained.

“Combining this data and capabilities will provide both organizations with unique opportunities to identify underserved market segments and assess risks,” the announcement said.

This announcement is the latest in a series of strategic moves by Better.com this year, including: $ 500 million in funding from the Vision Fund SoftBank and $ 778 million from public offering through specialized purchasing company Aurora Acquisition Corporation (SPAC).

Email Marian McPherson



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