Digital mortgage broker habito has raised £5.5 million in investment funding. 

The firm says it will use the money to enhance the technology behind its service, which allows borrowers to complete a full mortgage application online.

Since launching last April, habito has reportedly helped 20,000 prospective mortgage borrowers and has completed £50 million in mortgage applications.

The site offers users the opportunity to speak to a ‘chatbot’ – Digital Mortgage Adviser – which it says has halved the amount of time spent on each case. 

habito claims also to have a team of mortgage experts on hand to provide answers to more complex questions.

The website enables users to see over 10,000 products from over 60 lenders, allowing them to complete an entire mortgage application online.

Over the next 12 months the platform is aiming to develop a ‘fully automated end-to-end platform’, which it hopes will enable it to offer real-time mortgage approvals and automatic alerts for registered users when a better mortgage deal becomes available.

“The amazing response we’ve received from customers has proved what we always knew – there’s a huge opportunity to make the experience of getting a mortgage simpler, more transparent and a lot less painful,” comments Daniel Hegarty, founder and chief executive of habito. 

“The industry has suffered from a lack of innovation for decades and our technology empowers people to take control of their finances and protect themselves against getting or staying on the wrong mortgage.” 

The latest round of funding means habito has now raised £8.2 million from a range of seed and angel investors.