[Funding alert] BASIC Home Loan raises $ 500,000 in Picus Capital funding round


BASIC real estate loan, a GurugramA startup based on the development of a mortgage automation platform for middle and low income households in India has raised a $ 500,000 Plant round of Picus capital, a Germanytechnology investment company in the start-up phase.

Atul Monga, co-founder and CEO, Basic Home Loan mentionned,

“During a home loan process, especially for affordable housing, a customer has to go through multiple points of contact, which is painful. We strive to ensure that our technical agent accompanies them throughout this execution process, from “documentation” to “disbursement” as a single point of contact. ”

“With the support of the Picus Capital funds and ecosystem, our goal will be to change the way Bharat (India) finances its affordable housing,” added Atul.

Founded in 2020, BASIC Home Loan’s vision is to digitize the home loan process and increase the penetration of affordable loans for middle and low income households in India. It aims to use the “phygital” approach to create a network of agents who use its technology to support consumers, from “research” to the “final disbursement” of home loans.

The startup was co-founded by Atul Monga, Kalyan josyula and Pranav khattar. The trio have experience building businesses in the fintech space and have worked with companies such as sePoliticsBazaarse, seOlase, Lazada, Credit Suisse, HDFC Life and Wadi.com in the past.

According to estimates from the Reserve Bank of India (RBI), the current size of the mortgage market is around $ 250 billion and is growing by 20% year over year. The government’s vision is to provide “housing for all by 2022”. This translates into the construction of an additional 20 million homes for LIG and EWS households by 2022. BASIC Home Loan believes there is a great opportunity to tap this underserved segment by leveraging technology.

In its first month of operation, BASIC Home Loan secured loans of $ 6 million for Indian borrowers and has sanctioned $ 3 million so far. It aims to cross $ 60 million in loan disbursements in the first year of operation. Currently, she is setting up distribution and sourcing apps for lenders, but wants to create her own book of affordable, term mortgage loans.

“We believe that Basic Home Loan has a very unique proposition for solving a very basic problem that consumers face, namely quick access to formal financing for the purchase of an affordable home in India. The Indian loan market offers huge opportunities for automation, and we want to help basic mortgage lending to fully exploit this potential, ”added Oliver Heinrich, partner at Picus Capital, GmbH.

Picus Capital’s current investments in India include seLido Learningse (education), seMeddose (health care) and seMoneyOnClickse (ready).


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