Valon raises $150M at $2.3B valuation for mortgage-servicing software

Valon sells mortgage servicers an operating system for the work that begins after a home loan closes: maintaining the loan record, processing payments, managing escrow and reporting to investors. The company raised a $150 million Series D at a $2.3 billion valuation, with Ribbit Capital joining as a new investor and Andreessen Horowitz participating again.

ValonOS connects loan data, financial activity, compliance rules, task routing and audit history instead of leaving staff to reconcile separate tools. Employees handle exceptions from the same record while Valon’s software agents can answer homeowner messages, allocate payments and conduct escrow analyses. The distinction is practical: the automation operates inside the servicing system and its controls, rather than as a separate chatbot.

The company took an unusual route to selling that software. Valon first built and operated a licensed mortgage servicer on its own platform, giving it a production environment in which to test the system. When Carrington Mortgage Services completed its acquisition of that operation in August, it adopted ValonOS as its core platform, leaving Valon focused on developing and selling the technology.

The customer picture combines live usage with substantial migration work still ahead. Carrington and ServiceMac are already running ValonOS, while Rithm Capital’s Newrez plans to begin transitioning more than 4 million homeowners in 2027. Valon says servicers representing one in six outstanding United States mortgages are under contract, a broader measure than the loans operating on the platform today.

Valon says it signed more than $200 million of contracted annual recurring revenue within six months of opening ValonOS to outside servicers. The financing will support product development and larger engineering, deployment and sales teams as those customers move from older systems. Valon also plans to adapt its architecture for personal, auto and student lending, but those remain expansion plans beyond its current mortgage product.