JetClosing, the real estate startup focused on making the closing process on a new home less complex, announced Wednesday (Nov. 30) it has closed on $2.3 million in venture capital seed financing.
The round of venture fundraising was led by Trilogy Equity Partners. Maveron also participated in the round of funding, according to a report. The idea behind the startup is to streamline the process once a person finds a home to purchase. Cofounder and Chief Executive Daniel Greenshields said in the report that technology from the likes of Zillow and Realtor.com makes it easy to find a new home, but that’s where the convenience ends. “But once you find a house and go to contract, it goes back almost 50 or 100 years,” he said in the report. “We are building a company to address that.”
With its platform, JetClosing is aiming to help buyers, sellers and realtors get rid of all the paperwork that comes with a home closing and move the entire process into the cloud. That, said JetClosing, reduces the time it takes to close on a sale, increases transparency between buyers, sellers and realtors and reduces the costs because it is a more efficient process. JetClosing charges a fee as part of the transaction upon closing.
“We reduce the man-hours spent resending, fixing, re-faxing, correcting, answering questions or addressing problems that occur because of inaccurate data entry and document preparation,” the company says on its website, the report noted.
While the current closing process isn’t broken, the CEO did say in the report it is inefficient and slow. He likened the startup to Netflix and what it did to movie rental company Blockbuster when it came online. “Blockbuster wasn’t broken — you got your DVD or your VHS, and it was fine,” Greenshields said. “Streaming was just better. We will also do something better and at a much lower cost. For the digital natives who are used to using Uber, the current closing experience is pretty frustrating.”