Fraction raises $20M to expand its home equity platform
The company plans to use the funds for product development and to fuel expansion into the US market.
Fraction Technologies, which announced $289 million in equity and debt financing earlier this year, revealed today another $20 million in funding led by QED Investors.
Existing investors including Impression Ventures, Primetime Partners, Panache Ventures and Global Founders Capital took part in the round, in addition to angel investors from startups Brex and Bitso.
Vancouver Tech Journal is currently waiting for confirmation on Fraction’s total amount of equity and debt financing secured to date.
Fraction, which has developed a platform to enable homeowners to access the equity locked in their homes, plans to use the funds for product development and expansion into the US market.
“Since launching in February 2021, Fraction’s clients have received an average of $350,000 from their home equity. This home equity loan is an improvement to the existing mortgage and home equity landscape, in that there are no required monthly payments, and the interest rate is based on the appreciation of your home,” the company shared in a statement.
“We want to make managing your home equity as seamless and easy as booking a stay on Airbnb, and we are very excited to have QED joining to help us do that,” says co-founder and CEO Hayden James. “In addition to expanding to the US, we are also building out an entirely new Loan Origination System (LOS) to be able to fundamentally improve upon the customer experience.”
To execute on its product vision and international expansion, the firm is hiring for multiple roles across marketing, sales and finance functions.
More details to come…
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