Snadocs Raises $25 Million to Bolster Digital Closing Platform
November 7, 2019
San Francisco-based real estate technology company Snapdocs has raised $25 million in series B funding to further develop its digital closing platform as well as its artificial intelligence offerings.
“This is a huge milestone for the Snapdocs team and towards delivering on our promise of a seamless digital real estate closing. It’s also a big milestone for our lender and title partners who are now trusting us with over 750,000 real estate closings a year,” said Aaron King, CEO of Snapdocs.
According to the company, Snapdocs’ platform currently powers over 10 percent of all U.S. residential mortgage transactions, equalling about $150 billion in real estate transactions annually.
Snapdocs’s document processing tech takes PDFs and converts them into files with electronic signature fields, which enables signing from a PC, tablet or smartphone. Snapdocs’ AI algorithms identify which pages can be electronically signed and which require ink, after which they detect where electronic signature tags are needed and apply metadata that specifies the tag type (e.g. signature field, checkbox, etc.).
Snapdocs says its automated system can prep loan documents containing hundreds of pages in 11 minutes.
Snapdocs reports it has a database of 60,000 notaries that can be searched using an automated search algorithm. Notaries manage and upload their documents to a secure portal, from which they’re able to add signing appointments to third-party calendars.
The funding was led by F-Prime Capital, along with participation from previous investors Sequoia Capital, who led Snapdocs’ Series A, and Founders Fund. As part of the funding round, David Jegen of F-Prime Capital will join Snapdocs’ board of directors.
“Residential mortgage is a $2 trillion industry and one of the largest sectors yet to be digitized,” said Jegen, managing partner of F-Prime Capital’s tech fund. “The entire closing process is cumbersome and in need of a better workflow for collaboration, coordination and transparency. Snapdocs has built the leading vertical SaaS solution to this problem and is well-positioned to become the industry’s platform for digital mortgage closings.”
In addition to the fundraising, Snapdocs announced a new office in Denver to serve as a center for a wide variety of roles with an emphasis on engineering and operations.
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