Spruce, a tech-driven company focused on simplifying title insurance and escrow services, recently secured a $29 million Series B investment, led by Scale, as it aims to revolutionize the real estate transaction experience.

Target Information

Spruce is a pioneering company that aims to transform the traditionally tedious and outdated processes involved in title insurance, closing, and escrow services within the real estate sector. Founded by industry veterans Patrick Burns and Andrew Weisgall, Spruce has developed a suite of API-driven solutions that enable digital transformation in the procurement and management of title records and related services. Their innovative approach targets mid-market refinancing lenders, proptech purchasing platforms, and other stakeholders in the real estate ecosystem, positioning them to significantly enhance the consumer experience throughout the transaction process.

The title insurance industry is burdened by legacy systems and a reliance on paper-based processes, resulting in cumbersome and opaque transactions. In 2020, a staggering $20 billion was spent annually on closing costs and title insurance premiums, highlighting the potential for disruption within this space. By leveraging technology to simplify and digitize these services, Spruce aims to challenge the status quo dominated by the established “Big 4” title companies.

Industry Overview

The residential real estate industry in the United States is undergoing a significant transformation, largely driven by advancements in technology and the entry of proptech companies. Since 2013, approximately $45 billion in venture cap