Spruce, the national platform for enabling online real estate transactions with creative title and escrow solutions, has raised $29 million in Series B round of financing
FREMONT, CA: The national platform for enabling online real estate transactions, Spruce, has closed its Series B funding after raising $29 million. The round was led by the VC Scale Venture Partners, along with the participation of Zigg Capital and Bessemer Venture Partners. The funding will support the expansion of the team, accelerate the development of its proprietary technology, and deepen relationships with client partners.
"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, Spruce co-founder, and CEO. "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."
The company was founded in 2016 to avail APIs and services necessary for forward-thinking real estate and mortgage companies to create scalable, efficient, and convenient transactions. Spruce, unlike traditional companies, empowers mortgage lenders, real estate investors, and PropTech companies to handle the title and closing process online, as well as a digital-first and convenient experience to homeowners. Ever since the launch of the company, the development has been high and constant expansion is seen. Spruce has grown to conduct service transactions nationwide, from operations hubs in New York, Texas, and California. They have transacted amount worth over 1.25 billion dollars of transaction volume and developing revenue at more than 400 percent manually.
"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."
The latest funding follows a $16 million raise in 2018 that was funded by Bessemer Venture Partners, Omidyar Network, and Collaborative Fund.