Compass Launches Program to Bridge the Gap for Homeowners Looking to Buy
Compass Bridge Loan Services now part of suite of services exclusive to Compass clients
Oct 21, 2019, 09:00 ET
NEW YORK, Oct. 21, 2019 /PRNewswire/ -- Compass, the real estate technology company, today announced Compass Bridge Loan Services to provide purchasing power for homesellers looking to buy their next home before selling their existing one and to unlock a new set of homebuyers across the country. As part of the announcement the company also stated that homesellers working with a Compass agent can apply for no out of pocket costs for up to six months on any approved bridge loan.
"We are incredibly excited to be able to offer Compass Bridge Loan Services to home buyers and sellers across the country," said Carly Litzenberger, Senior Director of New Ventures at Compass. "Until now it's been far too difficult for homeowners to easily access the equity in their homes. By unlocking this capital, Compass is putting the power back in the hands of the homeowner and bringing a new group of buyers to the housing market."
Compass Bridge Loan Services is a straight-forward solution that bridges the financial gap between the home you own and the home you want to buy. With Compass Bridge Loan Services, homesellers gain access to faster processing and dedicated support from industry-leading lenders such as Better.com and Freedom Mortgage. As part of the service, Compass clients can apply for up to six months of loan payments. Compass is using its own funds to support the no out-of-pocket costs offering. This gives homesellers:
- The financial flexibility to make a down payment without having to sell their existing home.
- Quickly take action when they find the home they want to buy.
- Have the security in knowing where they are going to live before leaving their current home.
- Sell on their terms and watch from the comfort of their new home while their old house sells at the optimal time.
"Better.com and Compass both have similar shared visions of making the homeownership process easier through best-in-class technology and superior customer service. We're thrilled to partner together on a service that combines a concierge-like customer offering with innovation," said Vishal Garg, CEO and Founder of Better.com. Since inception in 2016, Better.com has funded $5B in home loans and is now licensed in 42 states.
Compass has already begun rolling the service out in select markets and early feedback from agents and their clients has been overwhelmingly positive.
"This is exactly the type of innovative programming we came to Compass for," said Andrew and Jennifer Oldham, Compass agents in the San Francisco Bay Area. "We have two existing clients that are buying homes solely as a result of Compass Bridge Loan Services. Being able to offer this type of program is a true game-changer for our clients, as well as our business."
Compass Bridge Loan Services adds to the company's growing roster of offerings, a suite of services that streamlines the home selling and buying experience. Due to the company's national scale, Compass is uniquely positioned to deliver such programs, including Compass Concierge, an offering that facilitates pre-sale home improvement services like staging, painting and more. For Compass clients using Concierge, the cost of these services is recouped at closing, with no hidden fees or interest charged.
Used together, Compass Bridge Loan Services and Concierge allow homesellers to: 1) access bridge loan services and flexible payment options to secure a new home, and 2) make improvements to their existing home, to help sell the home faster and for more money without paying out of pocket. Once a client's existing home sells, the proceeds can be used to repay any outstanding balance for these services.
Bridge loans have been the single most-requested service from Compass agents and their clients in 2019 and agent feedback is one reason the company invested significant time and resources into this development. Similar to the company's suite of technology tools: Compass Collections, Compass Insights, Compass Marketing Center, Compass Markets and the Compass CRM — Compass Bridge Loan Services was designed in collaboration with agents. This 'learn from reality' approach has allowed the company to efficiently tailor its software and services to the needs of today's home buyers and sellers. Compass is also working with Notable, an independent lender, to make Compass Bridge Loan Services possible.
About Compass
Compass is streamlining the home buying and selling experience by building the industry's first end-to-end software platform. Founded in 2012, Compass combines the best technology and personalized service to power all real estate activities in 100+ U.S. cities, in service of our mission to help everyone find their place in the world.
About Freedom Mortgage
Founded in 1990 and headquartered in Mount Laurel, New Jersey, Freedom Mortgage is a non-bank, full-service mortgage company that provides mortgage loans through retail, wholesale, and correspondent channels. One of the nation's largest loan originators and servicers, the company is licensed in all 50 states, the District of Columbia, Puerto Rico and the U.S. Virgin Islands, Freedom Mortgage is a leader in VA mortgage lending and one of the mortgage industry's largest philanthropic supporters of the USO and military families. The company is also renowned for its vibrant work environment where its team members can thrive. For more information, please visit FreedomMortgage.com.
About Better.com
Better.com is one of the fastest growing online mortgage lenders in the country, having grown 3x year-over-year and funding over $600 million in mortgages a month. The fintech disruptor took apart the home-financing ecosystem, replacing it with a digitized process that eliminates commissions, fees, unnecessary steps, and time-wasting appointments. In 2019, Better.com also launched homeowners insurance, title insurance and a real estate network. Better.com is backed by Kleiner Perkins, Goldman Sachs, American Express Ventures, Ally Financial, Citi and other investors.
SOURCE Compass
