SEATTLE–Another company is getting into the mortgage lending business. Online real estate firm Redfin said it has formed a new division, Redfin Mortgage, to loan money to its customers buying homes.
“By integrating a lending operation with Redfin’s existing brokerage and title businesses,” the company said in a statement, “the ultimate goal is an entirely digital process, with better service, a faster closing and lower fees.”
Redfin Mortgage plans to begin issuing loans in the first half of 2017, initially serving customers in Austin, Dallas, Houston and San Antonio markets.
“Redfin Mortgage will put the customer first through a combination of technology and personal service,” said Redfin CEO Glenn Kelman in a statement. “This approach to mortgage is the same that has made us successful serving more than 75,000 customers buying and selling homes. We’ll meet customers through digital channels to lower customer acquisition costs. We’ll hire our own mortgage advisers with incentives that reward service, not just sales, so customers get advice they can trust. We’ll track every aspect of the closing in a single system used by mortgage advisers, real estate agents, title experts and the customer so everyone works together on an on-time closing.”
Redfin has hired Jason Bateman, formerly executive vice president of mortgage operations at BBVA Compass, to lead the new mortgage unit.