#Tomo Mortgage #AI Mortgage #Progressive Insurance

Tomo Mortgage Secures $20 Million Funding

Tomo Mortgage, a leading digital mortgage lender, has announced a successful $20 million Series B financing round, boosting its total investment to an impressive $130 million. This latest funding round saw significant participation from Progressive Insurance, Ribbit Capital, NFX, and DST Global Partners.

Founded by former Zillow executives, Tomo is determined to change the outdated practices prevalent in the mortgage industry that cause homebuyers to lose billions each year. Its business model revolves around offering low mortgage rates and a seamless customer experience, free from hidden costs and complex processes. As Greg Schwartz, CEO and Co-Founder of Tomo, puts it, "Outdated business practices, excessive fees, and over-inflated interest rates cost U.S. homebuyers billions of dollars every year. Tomo is on a mission to change that."

Using artificial intelligence, Tomo has managed to lower mortgage interest rates by an average of half a percentage point, effectively saving the typical homebuyer around $4,000 at closing. The company’s approach significantly sets it apart from traditional lenders, eschewing mysteries around fees, missed deadlines, and agent interactions before revealing price quotes. Instead, Tomo boasts of transparent pricing that has led to glowing reviews and the title of