Digital Mortgage Platform Ringkas Raises $3.5 Million In Seed Round Led By East Ventures

Ringkas, an Indonesia-based digital mortgage platform, announced a US$3.5 million seed round led by East Ventures and Crestone Venture Capital on Wednesday.

Ringkas said in a statement that other investors who participated included 500 Global, Teja Ventures, Orvel Ventures, Hustle Fund, and others.

The funds raised in this round will be used to advance and scale the company's platform across multiple cities in Indonesia and the secondary market.

Ringkas Co-Founder Ilya Kravtsov stated that following the latest funding round, the company hopes to complete mortgage transactions worth up to $200 million within the next 6-12 months and launch over 100 projects in 34 cities across Indonesia.

He also stated that the latest funding round will hasten the adoption of Ringkas technology in underserved areas throughout Indonesia.

Ringkas is a digital housing finance solution platform founded in early 2022 by Ilya Kravtsov, Leroy Pinto, Puguh Widyoko, and Yoko Simon.

The company was founded after the four co-founders discovered a solution to the problem of home ownership in Indonesia, specifically the extremely low mortgage penetration rate of only 3.25 percent of total GDP.

This figure is significantly lower than in India, where mortgage penetration is 11 percent of GDP, and the United States, where mortgage penetration is over 50 percent of GDP.

Furthermore, Indonesia faces the challenge of a housing backlog of 12.75 million units, which is growing each year.

Ringkas aims to bridge the gap between millions of home buyers, 12,000 property developers, and 1,200 banks and financial institutions, allowing for more targeted and faster mortgage processing.

The company has a lofty goal of facilitating home purchases for 100 million Indonesians through mortgages.

Ringkas is set to disrupt the mortgage industry by offering a comprehensive solution that streamlines the entire process.