In an exciting development for the fintech landscape, Gurugram-based startup BASIC Home Loan has successfully raised ₹87.5 crore (approximately $10.6 million) in a Series B funding round. This
In an exciting development for the fintech landscape, Gurugram-based startup BASIC Home Loan has successfully raised ₹87.5 crore (approximately $10.6 million) in a Series B funding round. This latest investment was spearheaded by Bertelsmann India Investments (BII) and UAE-based CE-Ventures, the venture capital arm of Crescent Enterprises.
The funding round also saw participation from existing investors, including well-known equity investor Ashish Kacholia, along with Gruhas, Let’s Venture, 9Unicorns, and Venture Catalysts. Dexter Capital acted as the exclusive advisor for this significant deal.
Founded in 2020 by Atul Monga and Kalyan Josyula, BASIC Home Loan is a tech-savvy mortgage marketplace dedicated to simplifying the home loan process for borrowers, particularly those in tier 2 and 3 cities. Through an extensive network of 15,000 agents, the startup enables users to compare loans from various lenders while providing guidance throughout the application process. Currently, BASIC has established hubs in 10 cities and services a total of 30 cities.
With this fresh round of funding, BASIC Home Loan aims to expand its market presence, enhance its lending capabilities, and improve its technological infrastructure. “Our focus is on reaching more customers, advancing our tech capabilities, and introducing tailored financial products to meet the evolving demands of consumers and the ecosystem,” said Atul Monga, CEO and Co-founder of BASIC Home Loan.
In addition to growth plans, the startup is also keen on enhancing its First Loss Default Guarantee (FLDG) business with lenders. This innovative risk-sharing model enables BASIC to offer creative financial products while ensuring greater access to home loans for underserved borrowers. “By expanding our FLDG business, we aim to reach a broader audience and provide innovative solutions that create real impact in India’s housing ecosystem,” Monga added.
So far, BASIC Home Loan has made impressive strides, having sourced loan applications totaling over $12 billion and disbursing more than $1.1 billion in loans through its network. The startup operates in 650 districts across India, helping nearly 250,000 families secure homes and generating indirect employment for 15,000 individuals in tier 2 and tier 3 cities.
The enthusiasm from investors is palpable. “BASIC Home Loan is revolutionizing the home loan experience, especially for underserved, low-income borrowers in tier 2 and 3 cities. Their superior tech stack creates a simple, unique, and transparent solution, establishing them as a leading channel partner for lenders in under three years. The sector is poised for strong growth, bolstered by favorable government policies for lower- and middle-income groups,” said Rohit Sood, partner at Bertelsmann India Investments.
Sudarshan Pareek, Vice President at CE Ventures, expressed similar sentiments: “We are committed to supporting companies that leverage technology to address critical needs in underserved markets. BASIC Home Loan’s innovative approach simplifies home loans for tier 2 and 3 cities. Their ability to blend technology with local expertise is impressive, and we are thrilled to be part of their journey to transform the housing finance ecosystem in India.”
BASIC Home Loan is clearly on a mission to make homeownership accessible for millions, and with this latest round of funding, the company is poised for an exciting future.
