New York-based real estate tech startup Spruce raised $15.6 million in new venture capital to expand its national footprint and platform.
Self-proclaimed as the first digital-native title company, Spruce is out to disrupt the paper-based title and escrow process as part of the real estate industry’s quickening march toward a fully digital home buying experience.
“A real estate transaction can be one of the most important moments in a person’s life, and for many it’s a process fraught with confusion, frustration, and unnecessarily high fees,” Spruce Co-Founder and CEO Patrick Burns said in a statement.
“We are building the modern solution to the current challenges faced by homeowners, mortgage lenders, and real estate companies alike. And thanks to our latest funding, we’ll have the opportunity to work with more people than ever before,” he added.
Like Blend and Roostify in the digital mortgage software space, Spruce’s technology is geared for integration with real estate companies’ existing platforms via APIs.
This is a prospect that has obviously excited investors, and Spruce was able to garner support from investors like Bessemer Venture Partners, Omidyar Network and Collaborative Fund to bring its total cash raised in Series A up to $19.1 million.
“We’re thrilled to continue to support the Spruce team as they look to expand their reach to serve more clients across the country,” Charles Birnbaum, partner at Bessemer Venture Partners, said in a statement.
“There is a lot of room to grow in this industry, and we’re confident that Spruce’s approach will continue to resonate with lenders and innovative real estate models looking for a more efficient, technology-driven solution.”
So far, Spruce has worked with lenders and real estate companies in 36 states and is slated to make it to market in 48 states by the end of this year.
