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Mortgage as an employee benefit? Kleiner Perkins leads $23.5M Series A forMultiply Mortgage
Multiply Mortgage, a Denver startup, raises $23.5M Series A led by Kleiner Perkins to offer mortgage benefits to employees as homeownership becomes less attainable. Co-founders noticed tech workers using equity for housing, leading to a new model providing discounted rates and advisor services. The company aims to automate mortgage processes and expand its partnerships.
Key points
- Mortgage rates have risen, making homeownership challenging for many.
- Multiply Mortgage targets tech employees initially using their equity compensation for home purchases.
- The startup pivoted its business model, now offering a mortgage benefit program through employer partnerships.
- Employees receive education and discounted mortgage rates by working with advisors and a network of lenders.
- Multiply has secured $23.5M Series A funding to enhance its mortgage origination platform and hiring.
- Currently operates as a mortgage broker, licensed in 19 states, with plans to start lending soon.
Why it matters
- Current trends indicate a growing demand for employee benefits focused on financial wellness.
- The real estate market's challenges reflect broader economic trends affecting homeownership.
- Startup models like Multiply's align with increased automation in finance and tech, shaping employee benefits by 2025.
Multiply Mortgage's innovative approach to providing mortgage benefits illustrates the shift toward employee financial wellness, crucial in today's challenging housing market and setting a precedent for future employer-sponsored financial solutions.