elphi—Streamlining The Mortgage Lifecycle

A cloud-native mortgage loan origination system SaaS company

The Problem

On average, it takes 45 days to originate a mortgage because of outdated legacy technology providers who haven’t innovated in 20 years for financial and regulatory reasons. This leads to a manual workaround, inefficient processes and ultimately unsatisfied mortgage borrowers.

What The Company Does

Elphi is using a cloud-native technology that was not available until recently to optimize back-office workflows. Elphi’s tech was built with a future-of-work centric approach, anticipating the changing work force environments long before COVID-19 globally forced this change. Clients can use the software from anywhere in the world, as long as they have a computer and an internet connection. This allows multiple users to collaborate on a loan simultaneously, and each user to work on multiple loans concurrently.

The Market

The market is crowded with many legacy players such as Ellie Mae, Black Knight, Finastra and Accenture. The yearly spend on loan origination techn by mortgage lenders is roughly $2B per year. Elphi is different because of three things: Data integrity, customizability, and an open architecture approach. They keep track of every change in the loan story, achieving highest levels of data integrity. Their sophisticated backend architecture allows for lender-side software customizability, eliminating the need for lenders to reach out to the LOS provider for changes. They also have the ability to integrate 3rd-party data and tech providers more quickly and bi-directionally because of their open architecture approach.

Business Model

Elphi plans to use combination of fixed and variable costs. Each lender will pay them a tailored fixed fee to subscribe to the software and a variable fee based on number of transactions per month. The contracts are usually set for three to five years.

Traction

Currently, the team has a paying customer using their software with several tens of users. They were also semifinalists in the Harvard President’s Innovation Challenge, MIT $100k Accelerate + Launch Competition, and UChicago Booth New Venture Challenge. Previously, elphi was part of DCU FinTech Innovation Center.

Founding Team Background

elphi is led by Co-Founders Eilon Shalev, William Lopez-Cordero, and Daniel Gottesmann. Shalev, a former member of the Israeli Air Force, serves as elphi’s CEO and holds an MBA from MIT. Lopez-Cordero is the team’s head of architecture and holds a degree in aerospace engineering from MIT. Gottesmann, also a former Israeli Air Force member, serves as elphi’s COO and holds an MBA from Chicago Booth.

What They Need Help With

The team is currently looking for intros to mortgage lenders and B2B-oriented investors to fill their seed round. Connect with the elphi Team.

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