NEW YORK – Tidalwave, an agentic AI-powered mortgage point-of-sale platform, announced on Wednesday it has raised $22 million in a Series A funding round to accelerate the adoption of its automation technology in the U.S. home lending market.
The round was led by Permanent Capital, with participation from D.R. Horton, Inc., the nation’s largest homebuilder, and a follow-on investment from Engineering Capital. The investment brings Tidalwave’s total funding to $24 million.
The company aims to address chronic inefficiencies in the mortgage industry, where the average loan takes 43 days to close and relies on hundreds of manual data entry tasks. Tidalwave’s platform uses specialized autonomous AI agents to handle end-to-end tasks like verification and underwriting, reducing the need for manual oversight.
According to the company, the new capital will help it scale to power more than 200,000 loans annually. This volume would represent roughly 4% of the $1.46 trillion in U.S. mortgage originations projected for 2026 by the Mortgage Bankers Association.
The funding round is notable for the strategic involvement of D.R. Horton, which is not only an investor but has also become an enterprise customer through its subsidiary, DHI Mortgage.
“After evaluating all companies in this category, Tidalwave stood out for its powerful application of real AI to solve a massive, industry-wide problem,” said Jason Duboe, a new Tidalwave board member and Co-founder/Managing Partner of lead investor Permanent Capital.
Diane Yu, CEO and co-founder of Tidalwave, stated that the funding will supercharge the buildout of their AI agents. “We’re not only making the mortgage process more efficient, we’re also ensuring that every stakeholder, from loan officers to homebuyers, experiences the tangible benefits of real, scalable AI in action,” Yu said.
Mark Winter, CEO of DHI Mortgage, echoed the sentiment, citing an “alignment of vision, innovation, and execution” between the companies.
Tidalwave’s platform features direct integrations with key industry players, including Fannie Mae and Freddie Mac for instant underwriting, and data providers Plaid, Argyle, and Truv for real-time income and asset verification. Lenders using such digital tools can reduce origination costs by approximately $1,500 per loan, according to research from Freddie Mac.