Bharat Housing Network, a technology platform for co-lending in affordable housing, has secured Rs 125 crore in Series A funding, with NABVENTURES leading the round. Other investors include Varanium NexGen Fund, 9Unicorns, Riverwalk Holdings, SMK Ventures, DMI Sparkle Fund, LC Nueva, and others.
Backed by Homeville Consulting, Bharat Housing Network operates on a hybrid capital model and off-balance sheet lending to drive its growth. The growing population, rising household incomes, and declining size of the average household in India are driving household demands in the country.
The housing finance industry is expected to grow at a compound annual growth rate (CAGR) of 13-14 per cent in the long run, with home loan originations expected to be Rs 10.4 trillion by financial year 2025 (FY25) and Rs 18.7 trillion by financial year 2030 (FY30).
The co-lending platform enables lenders to build priority sector assets without incurring significant capital and operating expenditure. The platform aims to achieve gross disbursements of $500 million in the priority segment within the next three years, offering co-lenders faster turnaround times and greater efficiency.
Currently, Bharat Housing Network has onboarded 23 financial institutions and leverages a partner branch network to deliver capital in 200 locations across 12 states in the country.
Since its establishment in 2021, the platform has experienced rapid growth while maintaining high-class asset quality with near-zero delinquencies. Bharat Housing Network is enabling financial inclusion by empowering regional players to deliver credit across semi-urban and rural areas, focusing on delivering housing credit to Tier II, Tier III, and other cities for the low-income group and economically weaker sections of society.
“Rapid urbanisation has led to an unprecedented increase in the demand for affordable housing. However, the affordable housing shortage has affected millions worldwide, particularly those with low and moderate incomes,” said Rajesh Ranjan, CEO of NABVENTURES.
“In his Independence Day speech, the Prime Minister mentioned ensuring affordable credit for poor and middle-class housing. Our investment in Bharat Housing Network builds on the efforts of PM Awaas Yojana and other government initiatives to encourage low-cost housing and affordable loans. Bharat Housing Network aims to bring down the cost of borrowing for home loan buyers in Bharat’s hinterlands,” Ranjan added.
Bharat Housing Network is NABVENTURES’s seventh investment this year and it intends to invest in at least nine startups by the year-end.