LoanDolphin, a prominent loan bidding platform in Australia, has successfully secured $1.1 million from key investors to expand its operations in major capital cities and establish a strong foothold in Australia’s $1.5 trillion home loan market.
The funding round saw strategic investor Barry Lambert contribute $1 million, while the remaining investment came from fintech investment firm H2 Ventures. Barry Lambert, who founded Count Financial in 1980 and later sold it to Commonwealth Bank for $373 million in 2011, brings valuable expertise and credibility to LoanDolphin.
Following the capital raising rounds, LoanDolphin is now valued at $5 million. This Sydney-based fintech startup offers a free online platform that allows individuals to refinance or obtain new home loans at rates not typically advertised by banks or lenders. Customers who have utilized LoanDolphin’s services have already saved substantial amounts, often tens of thousands of dollars, on their mortgages.
On LoanDolphin, mortgage brokers, lenders, and banks compete to win customers’ business, leading to an average annual savings of $5,254 for homeowners. The platform was launched in February 2016.
LoanDolphin CEO Ranin Mendis expressed excitement about the capital boost, which will facilitate accelerated growth plans. He emphasized the significance of Barry Lambert’s involvement as a strong validation of LoanDolphin’s model and market potential. The company intends to utilize the funding to expand its customer base, strengthen its team, and introduce new features to the platform.
Barry Lambert commended LoanDolphin’s bidding platform, considering it the next generation of mortgage broking efficiency and borrower savings. He emphasized that the platform was developed by professionals with a deep understanding of the mortgage broking industry and its challenges, ensuring substantial financial and time efficiencies while enhancing user satisfaction.
H2 Ventures co-founder Toby Heap expressed delight in the progress made by LoanDolphin’s leadership during their time in the H2 Accelerator program. He highlighted the company’s exceptional attributes, including a great team and customer experience, along with funding from high-quality investors, enabling aggressive market share growth.
LoanDolphin achieved a significant milestone in August, with over $100 million worth of home loans auctioned on its platform. The company offers customers a simple and efficient way to access the lowest interest rates for home loans, free of charge. By anonymously uploading their home loan requirements, customers initiate bidding from mortgage brokers, lenders, and banks, receiving the best home loan rates that are not typically advertised.
Thanks to LoanDolphin’s services, customers have saved an average of 87 basis points or 0.87% percentage points, resulting in over $130,000 in savings on a $500,000, 30-year loan. The platform plays a crucial role in assisting borrowers who may lack awareness about their mortgage interest rates, as highlighted by a recent survey conducted by LoanDolphin, revealing that 65 percent of borrowers were unaware of their current rates.
