Setpoint, a New York-based company building infrastructure for modern real estate transactions, today announced that it has closed a $43 million Series A funding.
The round was led by Andreessen Horowitz, with participation from Henry Kravis (KKR), Spencer Rascoff (co-founder Zillow & 75andSunny), Fifth Wall, 645 Ventures, NextView Ventures, LiveOak Venture Partners, Vesta Ventures, ATX Venture Partners and Capital Factory.
This new funding will allow Setpoint to invest in software engineering and develop critical tools for its customers on both sides of asset-backed transactions. Setpoint will continue to focus on relationships with borrowers and lenders to make transactions instant, automated, and error-free.
The company also expects to expand outside of real estate by powering all asset-backed lending.
"Behind many of life's most important transactions—buying or renting a home or starting a business—is a complex system of trust and credit. Each day, billions move between warehouse lenders like Goldman Sachs and companies like Flyhomes that originate loans. These warehouse transactions are powered by email, Excel, paper documents and software developed in the 1980s. In less than a year, Setpoint has made significant headway solving this problem within proptech, leading to tens of thousands of home sales, which we expect to more than quadruple in 2023," said Stuart Wall, CEO at Setpoint.
The company also announced that it is on track to power 25,000 home transactions this year and expects to power more than 100,000 in 2023 via SFR, iBuying, Power Buying, fractional ownership, rent-to-own, and other transactions that make buying, selling, and renting a home easier, faster, and more accessible.
Round: Series A
Funding Month: December 2022
Lead Investors: Andreessen Horowitz
Additional Investors: Henry Kravis, Spencer Rascoff, Fifth Wall, 645 Ventures, NextView Ventures, LiveOak Venture Partners, Vesta Ventures, ATX Venture Partners, and Capital Factory
Company Website: https://www.setpoint.io/
Software Category: Real Estate Funding Platform
About the Company: Founded in 2021, Setpoint is infrastructure for asset-backed lending. Setpoint's capital and technology platform enable proptech and asset-backed borrowers to offer next-generation home buying and credit options to consumers. Setpoint's platform is the foundation for real-estate innovation, unlocking speed, efficiency, and accuracy for PropTech companies and their lenders. Setpoint is purpose-built to support funding and operations for a variety of modern real estate models. It is the funding operating system for originators: it verifies and stores documents, automates interest rate calculations, and digitizes assets like homes or autos. The company aspires to make credit more widely available and the underlying assets and loans more liquid.