Software Firm Valon Has Raised $150 Million
The company has shifted to selling mortgage-servicing technology that handles payments and taxes.
Updated on Oct. 5, 2026 in Residential
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Valon Technologies secured $150 million in Series D funding, reaching a $2.3 billion valuation as it pivots from managing loans to providing software for mortgage servicers. The firm, which sold its mortgage servicing portfolio to Carrington Mortgage in August 2026, now focuses on AI-driven automation for the industry.
Why it matters
By selling its technology to other servicers, Valon aims to standardize how mortgage payments and taxes are tracked across the $13 trillion U.S. home loan market. This transition seeks to improve efficiency in an industry that saw 30,000 consumer complaints to the CFPB in 2025.
Valon raised $150 million in its latest funding round, bringing its total valuation to $2.3 billion. This follows a period of growth where the company's annual revenue rose from $41 million in 2024 to $86 million in 2025.
The players
Valon Technologies
A software company that provides AI-driven mortgage servicing technology to lenders and servicers.
Carrington Mortgage
A mortgage servicer managing $200 billion in loan balances that acquired Valon's servicing portfolio.
Ribbit Capital
A venture capital firm that participated in the company's Series D funding round.
Andreessen Horowitz
A venture capital firm that invested in the company's Series D funding round.
Newrez
A mortgage lender and servicer that utilizes Valon's technology platform.
The details
Valon Technologies built its software platform while managing 600,000 loans as a servicer. After selling its portfolio of 800,000 loans to Carrington Mortgage, the company now operates solely as a software vendor for firms like Newrez and ServiceMac. Its AI-based system is designed to automate the manual processes of tracking payments and property tax obligations.
Timeline
2019: Valon launched with a $3.2 million seed round.
2024: The company recorded $41 million in annual revenue.
2025: Revenue grew to $86 million for the fiscal year.
August 2026: Valon sold its mortgage servicing portfolio to Carrington Mortgage.
October 5, 2026: Valon announced its $150 million Series D funding round.
Money Landscape
Valon's shift into software marks a broader trend of automation within the $13 trillion mortgage market. This evolution is intended to address the operational friction that contributed to 30,000 consumer complaints reported to the CFPB in 2025.
While this news affects institutional industry operations, homeowners may eventually see more accurate payment processing as servicers adopt automation technology. Households with questions about their own mortgage servicing should consult with a financial advisor.
The takeaway
The move toward automated mortgage software aims to reduce errors and improve speed for borrowers across the country. If you find discrepancies in your own mortgage statement, contact your servicer immediately and keep a written record of all communications.
Further reading
For broader trends in the housing market, see our Residential section.
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