The process of buying a home can be extremely stressful in terms of touring, dealing with realtors, and especially when considering the finances of purchasing. With all of these inefficiencies in the purchasing process, several apps have been designed to make it simpler and cheaper for the home buyer. One such app that has made recent headlines for raising nearly $20 million is Habito which helps to reduce the complexities associated with getting a mortgage.
Designed as a tool to help reduce the time, inconvenience, and costs associated with a traditional mortgage broker, Habito is an app and website which allows the entire process to be done in a fraction of the time entirely online. Without ever having to leave their home, home buyers can see what kind of mortgage they are eligible for based on a number of different factors from salary, number of dependents, and payback period. With easy-to-use forms, the app is designed to be highly comprehensive for anybody to understand without the need for a significant amount of technical knowledge. Given the statistic that many existing mortgage brokers are sold a mortgage that inaccurately reflects their financial position and goals, Habito utilizes advanced algorithms and the ability to search all of the existing products to accurately match the product to the home buyer.
Mortgages are intimidating and disempowering – people want and need to know they are getting the best possible deal, but also know they are cared for and understood. We wanted to find a disruptive and elegant way to showcase the duality that makes Habito special: precise engineering craft underlying skilled and problem-seeking human presence.
Leveraging advanced algorithms in the backend, the app is significantly more intelligent and efficient than traditional brokers. By asking only the most relevant questions and sourcing rates from every available source, the best rates can be given without a conflict of interest that would exist with manual brokers. Furthermore, the rates are found in real time with updates given if a better rate exists, ensuring that users of Habito are always matched with the best mortgage possible. Given a number of options in terms of payback period and monthly rates, users can select the rate that best suits their lifestyle in a matter of clicks as opposed to the average 3 weeks that is common with the traditional brokerage system.
As an online tool that deviates from pen-and-paper, many interactive processes help to answer the question that a home buyer may have. For example, the time that they would like to pay back their mortgage can be simply adjusted with a few clicks and then the automatic calculations take place instantly. Even for those who would like some human interaction in the process, Habito offers the ability to speak to a live agent or in a chat so that questions can be answered if needed.
As a simple tool that is unbiased in the mortgage opportunities that are presented, Habito is one of the most disrupted companies to affect the mortgage space. Although the traditional process of obtaining a mortgage can be costly, lengthy, and an overall inconvenient experience, the app aims to reduce many of the inefficiencies by introducing smart technology that streamlines the process in terms of cost and time. Upon raising the $20 million, it is likely that the service will expand beyond the UK to encompass major residential hubs around the world.