In November 2025, Tidalwave secured a $22 million Series A funding round, bringing its total funding to $24 million. This marks a significant step for the mortgage tech startup, which aims to scale its AI-backed platform to streamline the complex U.S. mortgage process. Led by Permanent Capital with participation from U.S. homebuilding giant D.R. Horton and Engineering Capital, this funding sets a bold tone for how the industry might evolve.
I see massive potential in Tidalwave’s market positioning because the mortgage industry, historically burdened by inefficiencies, is ripe for intelligent process simplification. The average U.S. mortgage process currently takes 43 days, often requiring extensive human oversight, which means there’s plenty of room to improve.
Let’s dig into the details and see how Tidalwave plans to deliver on their promise of processing 200,000 loans annually, equivalent to capturing 4% of the $1.46 trillion U.S. mortgage origination market projected for 2026.
What Tidalwave Brings to the Table
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End-to-End Automation:
Tidalwave’s platform combines technologies to manage everything from income verification to underwriting with minimal human involvement. This model could drastically reduce loan origination time while increasing accuracy. The company uses what’s described as “agentic AI” to automate each step in the process. -
Seamless Integrations:
Tidalwave connects directly to Fannie Mae and Freddie Mac to provide real-time eligibility insights. It also partners with industry-leading platforms like Plaid, Argyle, and Truv for income, employment, and asset verification. Major mortgage lenders, including NEXA Lending and First Colony Mortgage, have already jumped on board, which is proof of concept for Tidalwave’s usefulness. -
Consumer and Lender Benefit:
Borrowers get a smoother, faster loan process while lenders save around $1,500 per loan due to reduced operational costs, as highlighted by Freddie Mac. By eliminating traditional bottlenecks, Tidalwave also allows customers to make quicker purchasing decisions, an appealing factor for any homebuyer.
The Bigger Picture
With AI advancing rapidly, the financial sector, and mortgages especially, is seeing a shift. The alignment of startup technology with regulatory giants like Fannie Mae and Freddie Mac might not just simplify processes but disrupt prevailing systems entirely.
Startups hoping to emulate Tidalwave’s strategy could take note of these steps:
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Solve Real Problems:
Tidalwave tackles a well-documented bottleneck by reducing mortgage processing times and simplifying workflows. The more practical and scalable your solution, the higher the likelihood of adoption. -
Partner Strategically:
Their key partnerships allow Tidalwave to access foundational infrastructure, keeping them from wasting time reinventing wheels. For startups, identifying such partners early can accelerate your growth. -
Focus on Dual-Side Benefits:
Tidalwave creates value for both borrowers and lenders, which has earned them both investment and adoption. Understanding and addressing the pain points of all stakeholders can position your company for sustainable scale.
Common Pitfalls and How to Avoid Them
While Tidalwave’s funding announcement is impressive, it’s critical to recognize typical challenges for startups in similar fields:
- Overpromising technology: Many tech startups falter by overestimating their capabilities. Be realistic about what your system can deliver, especially in heavily regulated sectors like finance.
- Scaling too quickly: Implementing large-scale changes requires planning. Tidalwave’s goal of 4% market capture is ambitious, but without effective operational strategies, scaling could bring issues instead of opportunities.
- Ignoring the customer experience: Many fintech startups focus more on lenders than consumers. Tidalwave stands out by offering multilingual AI-powered guidance to borrowers, which is not just thoughtful but market-savvy.
Learning from these mistakes might save your company time, capital, and reputational costs.
Final Pointers on Growth Strategies
If you’re an aspiring entrepreneur in fintech or any complex service industry, here are some tactical ways to take your idea forward:
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Study the Market Data: The U.S. mortgage origination market is projected to surpass $1.46 trillion in 2026. Use authoritative reports, such as those from the Mortgage Bankers Association, to understand growth patterns and align with industry developments.
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Invest in User-Centric Technology: Tidalwave doesn’t just focus on lenders but also tailors its tool to the diverse needs of borrowers, for instance, incorporating Spanish-language features for broader appeal.
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Build Trust Early: Working with industry leaders like D.R. Horton gives startups validation, creating a longer runway for success. If you’re planning strategic partnerships, pick experienced players who can vouch for your business.
Why You Should Keep an Eye on Tidalwave
As someone working across STEM fields, I can say this: progressive technologies like the ones created by Tidalwave bring fresh air to traditional structures. The funding they received proves that investors, not typically known for baseless risks, see the opportunity that AI brings to mortgages now. Obviously, the technology must be robust enough to meet compliance standards while earning trust from traditionally rigid institutions like Freddie Mac. On Tidalwave’s end, this means clear communication around AI outputs and extensive testing. If they succeed, it’s not far-fetched to imagine them setting new standards for other mortgage tech systems globally.
Entrepreneurs should watch Tidalwave not only for their technology but for how they navigate partnerships and scaling challenges. Strong teams, bold goals, and a laser focus count for a lot. And if they get it right, lenders, homebuyers, and even the broader housing economy could benefit. It’s an exciting time for tech like this, just make sure to learn from their playbook while it’s being written.
FAQ
1. What is Tidalwave and what problem does it solve?
Tidalwave is an AI-powered mortgage platform that simplifies complex tasks like underwriting and income verification, reducing the average U.S. mortgage processing time of 43 days. Read more about Tidalwave’s solution
2. How much funding did Tidalwave secure in its Series A round?
Tidalwave raised $22 million in Series A funding, bringing its total funding to $24 million. Learn about their funding details
3. Who were the key investors in Tidalwave’s Series A funding?
The funding round was led by Permanent Capital with participation from D.R. Horton, Inc., the largest U.S. homebuilder, and Engineering Capital. Explore more about the investment partners
4. How does Tidalwave streamline the mortgage process?
Tidalwave uses agentic AI to automate tasks such as income, employment, and asset verification, connecting directly to Fannie Mae and Freddie Mac for real-time decision-making. Learn about how Tidalwave simplifies mortgages
5. What integrations does Tidalwave utilize?
Tidalwave integrates with industry leaders like Plaid, Argyle, and Truv for real-time verification while connecting to Fannie Mae and Freddie Mac for instant underwriting decisions. See Tidalwave’s integration details
6. Which mortgage lenders have adopted Tidalwave’s platform?
Leading lenders like NEXA Lending, First Colony Mortgage, and Mortgage Solutions have adopted Tidalwave’s platform to streamline processes. Find out more about lender adoption
7. What market share is Tidalwave targeting with its technology?
Tidalwave aims to process over 200,000 loans annually by 2026, representing 4% of the projected $1.46 trillion U.S. mortgage origination market. Explore the market projections
8. What benefits does Tidalwave offer lenders and borrowers?
Lenders save $1,500 per loan due to reduced operational costs, while borrowers enjoy faster and smoother loan processing, including multilingual AI guidance. Learn more about Tidalwave’s dual-side benefits
9. What makes Tidalwave’s platform unique in the fintech space?
Their “agentic AI” technology combines seamless integrations with major regulatory bodies and fintech services, empowering lenders and borrowers alike. Discover Tidalwave’s unique technology
10. How is Tidalwave planning for sustainable growth?
Tidalwave leverages strategic partnerships with industry leaders and continues strengthening both lender and consumer experience to maintain scalable growth. Dive into Tidalwave’s growth strategy
About the Author
Violetta Bonenkamp, also known as MeanCEO, is an experienced startup founder with an impressive educational background including an MBA and four other higher education degrees. She has over 20 years of work experience across multiple countries, including 5 years as a solopreneur and serial entrepreneur. Throughout her startup experience she has applied for multiple startup grants at the EU level, in the Netherlands and Malta, and her startups received quite a few of those. She’s been living, studying and working in many countries around the globe and her extensive multicultural experience has influenced her immensely.
Violetta Bonenkamp's expertise in CAD sector, IP protection and blockchain
Violetta Bonenkamp is recognized as a multidisciplinary expert with significant achievements in the CAD sector, intellectual property (IP) protection, and blockchain technology.
CAD Sector:
- Violetta is the CEO and co-founder of CADChain, a deep tech startup focused on developing IP management software specifically for CAD (Computer-Aided Design) data. CADChain addresses the lack of industry standards for CAD data protection and sharing, using innovative technology to secure and manage design data.
- She has led the company since its inception in 2018, overseeing R&D, PR, and business development, and driving the creation of products for platforms such as Autodesk Inventor, Blender, and SolidWorks.
- Her leadership has been instrumental in scaling CADChain from a small team to a significant player in the deeptech space, with a diverse, international team.
IP Protection:
- Violetta has built deep expertise in intellectual property, combining academic training with practical startup experience. She has taken specialized courses in IP from institutions like WIPO and the EU IPO.
- She is known for sharing actionable strategies for startup IP protection, leveraging both legal and technological approaches, and has published guides and content on this topic for the entrepreneurial community.
- Her work at CADChain directly addresses the need for robust IP protection in the engineering and design industries, integrating cybersecurity and compliance measures to safeguard digital assets.
Blockchain:
- Violetta’s entry into the blockchain sector began with the founding of CADChain, which uses blockchain as a core technology for securing and managing CAD data.
- She holds several certifications in blockchain and has participated in major hackathons and policy forums, such as the OECD Global Blockchain Policy Forum.
- Her expertise extends to applying blockchain for IP management, ensuring data integrity, traceability, and secure sharing in the CAD industry.
Violetta is a true multiple specialist who has built expertise in Linguistics, Education, Business Management, Blockchain, Entrepreneurship, Intellectual Property, Game Design, AI, SEO, Digital Marketing, cyber security and zero code automations. Her extensive educational journey includes a Master of Arts in Linguistics and Education, an Advanced Master in Linguistics from Belgium (2006-2007), an MBA from Blekinge Institute of Technology in Sweden (2006-2008), and an Erasmus Mundus joint program European Master of Higher Education from universities in Norway, Finland, and Portugal (2009).
She is the founder of Fe/male Switch, a startup game that encourages women to enter STEM fields, and also leads CADChain, and multiple other projects like the Directory of 1,000 Startup Cities with a proprietary MeanCEO Index that ranks cities for female entrepreneurs. Violetta created the "gamepreneurship" methodology, which forms the scientific basis of her startup game. She also builds a lot of SEO tools for startups. Her achievements include being named one of the top 100 women in Europe by EU Startups in 2022 and being nominated for Impact Person of the year at the Dutch Blockchain Week. She is an author with Sifted and a speaker at different Universities. Recently she published a book on Startup Idea Validation the right way: from zero to first customers and beyond, launched a Directory of 1,500+ websites for startups to list themselves in order to gain traction and build backlinks and is building MELA AI to help local restaurants in Malta get more visibility online.
For the past several years Violetta has been living between the Netherlands and Malta, while also regularly traveling to different destinations around the globe, usually due to her entrepreneurial activities. This has led her to start writing about different locations and amenities from the POV of an entrepreneur. Here’s her recent article about the best hotels in Italy to work from.
About the Publication
Fe/male Switch is an innovative startup platform designed to empower women entrepreneurs through an immersive, game-like experience. Founded in 2020 during the pandemic "without any funding and without any code," this non-profit initiative has evolved into a comprehensive educational tool for aspiring female entrepreneurs.The platform was co-founded by Violetta Shishkina-Bonenkamp, who serves as CEO and one of the lead authors of the Startup News branch.
Mission and Purpose
Fe/male Switch Foundation was created to address the gender gap in the tech and entrepreneurship space. The platform aims to skill-up future female tech leaders and empower them to create resilient and innovative tech startups through what they call "gamepreneurship". By putting players in a virtual startup village where they must survive and thrive, the startup game allows women to test their entrepreneurial abilities without financial risk.
Key Features
The platform offers a unique blend of news, resources,learning, networking, and practical application within a supportive, female-focused environment:
- Skill Lab: Micro-modules covering essential startup skills
- Virtual Startup Building: Create or join startups and tackle real-world challenges
- AI Co-founder (PlayPal): Guides users through the startup process
- SANDBOX: A testing environment for idea validation before launch
- Wellness Integration: Virtual activities to balance work and self-care
- Marketplace: Buy or sell expert sessions and tutorials
Impact and Growth
Since its inception, Fe/male Switch has shown impressive growth:
- 5,000+ female entrepreneurs in the community
- 100+ startup tools built
- 5,000+ pieces of articles and news written
- 1,000 unique business ideas for women created
Partnerships
Fe/male Switch has formed strategic partnerships to enhance its offerings. In January 2022, it teamed up with global website builder Tilda to provide free access to website building tools and mentorship services for Fe/male Switch participants.
Recognition
Fe/male Switch has received media attention for its innovative approach to closing the gender gap in tech entrepreneurship. The platform has been featured in various publications highlighting its unique "play to learn and earn" model.
