Fintech Startup BASIC Home Loan Secures $10.6 Million in Funding
Gurugram, India-based BASIC Home Loan, a fintech startup aimed at facilitating mortgage loans for Indian homebuyers, has raised $10.6 million (Rs 87.5 crore) in its Series B funding round. The investment was led by Bertelsmann India Investments (BII) and CE-Ventures, with additional participation from existing lender Ashish Kacholia and other investors.
This funding round marks a significant milestone for BASIC Home Loan, which has previously raised $8.7 million across three rounds of funding, including a $4.7 million pre-Series B round in June 2023 led by Kacholia.
Planned Use of Funds
The startup plans to utilize the fresh funds to expand its market presence, build its own lending book, and enhance its technological capabilities. This move aims to strengthen the company’s position in the mortgage financing market and cater to a larger customer base.
Growing Impact
BASIC Home Loan has made a notable impact in India since its inception in 2020, led by founding members Atul Monga and Kalyan Josyula. The company boasts impressive numbers, boasting nearly 250,000 families helped in acquiring their own homes and generating indirect employment for 15,000 individuals in tier-II and III areas, in addition to loan applications totaling $12 billion and more than $1.1 billion in loan disbursements.
The startup employs a hub-and-spoke model, operating from 10 hubs in various cities and catering to customers in 30 cities through a network of 15,000 agents. This strategic approach has driven a 10x revenue growth over the past 24 months, mainly due to its technology-enabled mortgage solutions.
The success of BASIC Home Loan and the recent funding are testaments to the potential of fintech in the Indian mortgage market, demonstrating the importance of innovative solutions to cater to the needs of homebuyers and the broader financial ecosystem.
