Button Finance, Inc., a Fintech mortgage lender focused on home equity, announced that it has finalized a $2 million seed round.
The proceeds should allow Button Finance to recruit talent and to further develop its proprietary technology. Entities advised by Hildene Capital Management, LLC participated in the investment round. Hildene is a $13 billion structured credit focused asset manager with offices in Stamford, CT.
As mentioned in a release, Button Finance enables homeowners to “borrow against their home equity through a hassle-free online process that delivers quick decisions and funding in as little as five days.”
The firm has built an AI-enhanced underwriting platform that “enables it to lend to borrowers who are under-served by traditional lenders.”
While Button’s immediate focus is on home equity loans, the company plans “to expand into a broader range of loan products over the next 24 months,” the announcement revealed.
Jason Harris, CEO of Button Finance, stated:
“Demand was strong for the round, and we were oversubscribed and happy with our new partners. This last year has been challenging for everyone; however, American homeowners now have more untapped equity than ever before, given the recent home price rally. Button Finance’s products empower borrowers to access their home equity, pay down high-interest debt, and make value-enhancing renovations to their homes.”
Hildene was joined by L&L Capital Partners and angel investors from the NY fintech ecosystem.
Dushyant Mehra, Co-CIO of Hildene Capital Management, remarked:
“The traditional players in the mortgage industry have been slow to adopt new technology and innovative underwriting. The Button Finance team spotted a gap in the market, and they built a robust underwriting model to address it, leading to higher risk-adjusted yields. We are excited to be working with Button as they continue to build their unique origination platform.”
Button Finance also announced the hire of Josh Hager to “oversee mortgage operations.”
Josh brings more than 2 decades of experience in the mortgage industry, including department head roles at various Fintech mortgage originators, including Better.com, Homeward, and Divvy Homes.
Established by a professional team focused on lending and technology, Button Finance, Inc. helps borrowers “extract the value from their homes through home equity loans and a bespoke, technology-driven underwriting process.”
Button Finance aims to “help individuals and families achieve financial independence by offering more options to monetize their most significant asset, their home,” the update noted.