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Credit unions around the country now have access to a turnkey renovation lending platform that makes more financing available than traditional home-equity products.
On Tuesday, a news release indicated that RenoFi a home renovation lender, executed a distribution agreement with TruStage, an insurance, investment, and technology provider.
According to the announcement, the deal will enable Philadelphia-based RenoFi to provide a turnkey renovation origination and underwriting system to credit unions across the nation.
Lee Miller, Co-Founder & President, RenoFi
“We are committed to the credit union industry and making renovations possible for all homeowners,” RenoFi President and Co-Founder Lee Miller said in the press release.
Miller wrote in a separate statement that the renovation loans are second-lien home-equity loans and home-equity lines of credit.
It’s the only such turnkey renovation lending platform available for credit unions, according to RenoFi, which employs renovation experts, mortgage loan originators, and technologists to support its credit union business.
A major feature of RenoFi’s end-to-end renovation lending production system is that financing is based on a property’s value after the improvements, the statement said. Using the higher value reportedly increases the amount available to borrow by 11 times.
RenoFi previously received a Series A funding round investment from TruStage Ventures, the venture capital arm of TruStage. Other investors in the company include First Round Capital, Canaan Partners and Comcast Ventures.
Sam Das, Managing Director, TruStage Ventures
“RenoFi is blazing a trail for credit unions to shape the new frontier in the home renovation space,” TruStage Ventures Managing Director Sam Das said in the issued statement. “The team has experienced incredible growth stemming from the strong demand from homeowners for a solution that is tailored to their needs.”
RenoFi’s Miller added, “TruStage’s expertise and industry reach will help us greatly with those commitments, and its endorsement of RenoFi is a big proof point for RenoFi’s ability to support the credit union movement.”
