LoanWise Founder Sees Opportunity in Non-Bank Mortgages
Translated & summarized from TheMarker by baba
Eran Wolf, founder of LoanWise, is offering mortgages at higher rates to clients rejected by Israeli banks. The company's credit portfolio has exceeded one billion shekels, with a goal of six billion within five years. Wolf aims for an IPO in two years, seeing opportunity despite the banking sector's 95%-97% market dominance.
The story in 5 lines · by baba
- LoanWise founder Eran Wolf aims for an IPO within two years and sees opportunity in non-bank mortgages.
- LoanWise's credit portfolio has surpassed 1 billion shekels, with a goal of 6 billion in five years.
- The Israeli mortgage market is 95%-97% dominated by banks, but non-bank lenders are increasing their presence.
- LoanWise provides mortgages to clients who were unable to obtain them from traditional banks.
- Eran Wolf previously founded Direct Finance before establishing LoanWise.
Eran Wolf, founder of the non-bank mortgage company LoanWise, believes the Israeli housing market remains solid despite the ongoing crisis. Wolf, who previously left Direct Finance, established LoanWise to provide mortgages at higher interest rates than banks. He stated that their clients are individuals who could not secure loans from traditional banks, emphasizing this does not imply they are "bad" clients.
LoanWise's credit portfolio has surpassed one billion shekels, with a five-year goal of reaching six billion shekels. Wolf expressed an increased appetite for risk and aims for an IPO within two years. He noted that while banks dominate the Israeli mortgage market with a 95%-97% share, institutional entities like Migdal, Clal, and Harel, along with other non-bank credit companies, are increasing their presence.