Mortgage broking technology firm Effi has raised $1.2 million in seed funding to propel its development of the world’s smartest mortgage broker platform.
Effi has developed a personalised smart platform that takes the friction out of managing borrower relationships. Available via a desktop and mobile app, it uses artificial intelligence and real-time data to enable brokers to increase sales conversions and nurture more meaningful engagements with clients.
Earlier this month, Effi announced the successful conclusion of a pilot with popular comparison site RateCity to enable brokers to generate high-quality leads.
Now, it’s gearing up for the next stage of growth following the successful closing of a seed funding round that included leading Australian seed investment group Investible, US-based Hustle Fund as well as several mortgage industry leaders and brokers.
“The pilot with RateCity demonstrated how Effi integrates seamlessly with trusted platforms to empower brokers to build their business without spending a fortune. In fact, participants reported double-digit conversion rates from lead to loan settlement – far above the industry standard,” said Mandeep Sodhi, Effi’s founder and CEO.
“This funding boost will enable us to double down on our partnership efforts and ramp up product development as we strive to address the most common issues plaguing the mortgage broking process.”
Investors also see the potential for Effi to fill a unique gap in the market by serving as a single, unified platform for brokers to manage client opportunities.
“Effi brings a new level of data-driven intelligence and efficiency to the mortgage broking industry and is led by an experienced founder with deep industry experience,” said Daniel Veytsblit, Investment Director at Investible.
“The platform solves two of the great pain-points for brokers, lead generation and efficiency. As early investors we are excited to see the growth of the platform in the mortgage industry and adjacent lending segments.”
In the current mortgage industry climate, broker market share is expected to reach 70% (currently 60%) as buyers require more support on which lender to apply to, to avoid rejection. Effi is providing brokers all the tools and automation to help nurture these leads.
In fact, the current response rate from cold leads on Effi is sitting above 80% due to the platform’s unique SMS bot, compared to single digit response rates from emails.
“At Effi, we are committed to powering and supporting the mortgage broking industry, rather than disrupting it.
“Our main goal is to keep innovating the platform to make it as seamless and helpful for brokers as possible. I believe this year we are in good stead to achieve this goal,” said Sodhi.