Valon Raises $100M to Disrupt Mortgage Servicing

Valon, a cutting-edge mortgage servicing platform, has successfully secured $100 million in Series C funding, led by WestCap with participation from Andreessen Horowitz and other investors. This latest investment brings Valon’s total funding to $230 million since its inception in 2019. The capital will be utilized to enhance product development and expand market reach, solidifying Valon’s position as a leader in an industry ripe for innovation.

Overview of Valon

Founded by Andrew Wang, Eric Chiang, and Jonathan Hsu in New York, Valon aims to revolutionize the mortgage servicing landscape, which has remained largely unchanged for decades. The platform addresses critical inefficiencies within the $25 billion mortgage servicing market by providing a comprehensive software solution that improves operational efficiency for servicers while offering a seamless experience for homeowners.

Key Features and Achievements

• Innovative Technology: Valon’s platform is designed to handle various administrative tasks related to mortgage management, including payment processing and tax management. Its user-friendly interface allows homeowners to easily access their mortgage information online.
• Significant Growth: The company has reported an impressive 400% year-over-year growth and has serviced over $65 billion in mortgages. This rapid expansion has positioned Valon among the top 15 subservicers in the United States.
• Market Expansion: Valon is not only enhancing its core services but is also venturing into new areas such as property insurance and tax appeal services. This diversification aims to double or even triple its total addressable market.

Leadership Insights

Andrew Wang, CEO of Valon, emphasized the company’s commitment to creating a modern servicing platform that prioritizes transparency and efficiency. He stated, “This new funding demonstrates that we’ve hit the milestones to prove our software is best in class and will allow us to double down on our technology to deliver even more value to the industry.” Josh Dart from WestCap echoed this sentiment, noting that Valon offers a fundamentally better solution for a market that has historically lacked technological advancement.

Conclusion

Valon’s recent funding round marks a significant milestone in its journey to transform the mortgage servicing industry. By leveraging advanced technology and focusing on customer experience, Valon is poised to redefine how mortgage servicing operates, ultimately benefiting both servicers and homeowners alike.