Mortgage brokering goes online with new website

A start-up has taken aim at disrupting the £95 billion mortgage brokering market by launching a new site that identifies the best mortgages for hopeful house-hunters.

Using proprietary technology, online mortgage brokering operator habito analyses every mortgage on the market across 100 lenders in seconds, with the hope to identify the best mortgage for each applicant, based on their individual circumstances, and enabling them to complete their application online, from a phone or tablet, within around 30 minutes.

The company is backed by Transferwise CEO Taavet Hinrikus and Funding Circle CEO Samir Desai and has been described Habito as the world’s only digital mortgage broker online.
Having raised a £1.55 million seed funding round led by Mosaic Ventures, habito plans to revolutionise a market that has failed to keep pace with the needs of 21st century consumers.

The company says that the average broker will look at fewer than 10 per cent of the mortgages available and take 2-3 weeks to process an application, making it impossible for one person to look at every mortgage out there. This results in people often ending up with the wrong mortgage.

Even after the right mortgage is found, habito will continually monitor the market and alert the customer if a better deal ever becomes available, helping them switch smoothly. Directly authorised by the Financial Conduct Authority, habito is completely impartial and free to use.

Market potential for online mortgage brokering

With 7.6 million active mortgages in Britain, 69 per cent of which are completed with the support of a mortgage broker, the market potential for the company is huge, the company says. Because the process is fully automated, the company is confident it has the strong foundations to achieve significant scale quickly.

Daniel Hegarty, CEO and Founder of habito, says that technology has transformed our lives beyond recognition, so it’s hard to believe applying for a mortgage today remains no different from the difficult and often protracted process of 10, 20 or even 30 years ago.

‘It is an industry that has seen no meaningful innovation, yet technology can do so much to take the pain out of mortgages for consumers. It’s not right that millions of people are paying over the odds on the wrong mortgage.

‘It’s time for technology to bring mortgages into the 21st century. Habito scours every mortgage from over 100 lenders in seconds and matches the best one for you. It is an easy, fast and transparent way to find and apply for the right mortgage seamlessly.’

Taavet Hinrikus, co-founder and CEO of Transferwise, adds, ‘Applying for a mortgage is stressful and time-consuming. Habito one of the few mortgage brokers online, has built a great product that takes away that pain and helps consumers find the best product for them.’

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