Spruce plans to invest in developing its flagship technology
Following a $16 million raise, real estate company Spruce has announced on Thursday that it has closed a $29 million Series B funding.
The start-up launched its platform in 2016 to enable mortgage lenders, real estate investors, and proptech companies to manage the title and closing process online. Since then, Spruce has grown to service transactions across the US – enabling over $1.25 billion of transaction volume and growing revenue at 400% annually.
To get its momentum going, the company will use its latest funding to develop its proprietary technology, extend integrations with client partners, and support the team's expansion.
"In these uncertain times, innovative mortgage lenders and real estate companies that support digital transactions are providing essential services to consumers, ensuring that critical moves are still possible and refinancing loans to help cover necessary expenses," said Patrick Burns, co-founder and CEO of Spruce. "Spruce is proud to be supporting our clients at the forefront of this paradigm shift and excited to provide the best tools to compete in an ever-changing environment."
Scale Venture Partners led the financing round, with participation from Zigg Capital and Bessemer Venture Partners.
"We believe that Spruce is playing a critical role in enabling innovation in real estate transactions," said Alex Niehenke, partner at Scale Venture Partners. "While we're still in the early innings, change is happening fast. It's only a matter of time before the manual processes in real estate transactions are transformed by digitization, connectivity, automation, and streamlined customer experiences."
