Acquisition war: after buying out Trussle, US online mortgage broker Better.com buys Property Partner
Reduced fees and business incentives for existing clients of real estate partners.
Image source: Vishal Garg / Better.
After a few tumultuous years, Property Partner has found a new home owned by US online mortgage giant Better.
Terms of the deal were not disclosed when it was announced earlier this month, but a host of improvements to Property Partner’s service have been.
Starting next month, Property Partner fees, which sparked controversy in 2019 when they were introduced as part of a race to shore up fintech finances, are reduced.
The platform’s annual assets under management fee will drop from 1.2% to 1%, while its monthly account fee of £ 1 will be removed altogether.
Announcing the deal, Better CEO and Founder Vishal Garg proclaimed, “The Real Estate Partner is the future of residential real estate” and promised that US and international properties will soon be listed on the platform. .
“The combination of Property Partner’s unique residential real estate investment platform with Better’s arsenal of home ownership products and services is a game-changer for the future of real estate investing. “
Another benefit of the takeover will be to leverage Better’s mortgage expertise to improve the financing of Property Partner properties, which the company says should improve returns on investment for all clients.
The deal also comes after Better acquired UK online mortgage broker Trussle, in a bid to boost its market share in the UK.
Founded in 2016, Better has so far funded $ 30.9 billion in home loans and provided over $ 7 billion in insurance coverage, while Trussle has secured over £ 2.7 billion from mortgage approvals here in the UK and £ 1.1bn in the past 12 months. alone.
Better is also gearing up to become a listed company later this year in the fourth quarter via a merger with a Special Purpose Acquisition Company (SPAC) with a post-money valuation of around $ 7.7 billion.