Fintech startup Point has announced that it has secured a $115 million Series C funding in an investment round led by WestCap Group, a New York City-based investor along with the existing backers Andreessen Horowitz, Ribbit Capital, mortgage real estate investment trust Redwood Trust and Atalaya Capital Management.
A Palo Alto, California-based startup has now raised $170 million in equity capital, the company said in the statement.
The company plans to use the funding to include expanding its Home Equity Investment (HEI) division. It lets homeowners get cash in exchange for a certain percentage of future appreciation of their home.
For the uninitiated, when homeowners apply for the HEI program, Point evaluates the finances of the applicants and makes a provisional offer. It then values the homes with an in-home appraisal, and updates the final offer. Then the fintech startup funds up to 20% of the home’s property value once the offer is accepted.
The company has claimed that it has invested in more than 5,000 homes since launching in 2015.
With the latest investment, Point plans to launch products, hire more employees and expand its footprint to 11 additional states in the USA, bringing its presence to 28 markets by the end of this year. The company currently operates in Washington, D.C. and 16 states including New York and Pennsylvania.
The company was co-founded by Alex Rampell, a general partner at Andreessen Horowitz, Eddie Kim, and Eoin Matthews and it counts Bloomberg Beta, Deer Park Road Management, the Palisades Group, and Prudential among the top investors.