Vesta Raises $30 Million Series B

Vesta, an AI-native loan origination system (LOS) for mortgage lenders, has raised $30 million in a Series B, bringing its total to $85 million. Lenders on and moving to Vesta originate more than $100 billion a year.

Conversion Capital, which led Vesta's seed round, also led the Series B. Three of Vesta's customers invested — New American Funding, Pennymac, and nbkc bank. Citi Ventures, FirstKey Mortgage, and Navitas Capital joined the round. Existing investors Andreessen Horowitz, Zigg Capital, and Parker89, First American Financial's venture arm, also participated.

"The mortgage industry has spent years adding technology on top of a manual process, and cost to originate has gone up, not down,” said Jensen Szakaly, Managing Director of Mortgage Fulfillment at Pennymac. “What Vesta put in front of us was a different premise. We think the large majority of routine production work should be automated over time, and getting there requires a system built for that rather than one retrofitted for it. Vesta is that system, and our teams have adopted it well.”

Pennymac, which replaced its origination system with Vesta, reported a 25% decrease in its operational cost to originate and approximately 50% efficiency gains for its loan officers. Both results came before the company activated AI agents.

“Vesta is the only LOS where people and AI agents work the same file in the same system,” said Mike Yu, Cofounder and CEO of Vesta. “For example, when loans come in, lenders can choose to have AI agents run document review, data validation, and cross-checks. The AI agents record their decision making and escalate anything that needs a person.”

Mortgage lenders use Vesta's AI agents today to automate dozens of tasks from application through funding, including making underwriting decisions, clearing conditions, and reviewing closing packages. Lenders report that AI agents outperform their human counterparts because agents follow the rules, perform consistently, and never get tired. About 40% of tasks completed on Vesta are now handled by AI agents and automated workflows, and that share is rising.

"For decades, mortgage lenders have compensated for the limitations of legacy loan origination systems with manual workflows, point solutions, and additional headcount - driving up the cost to originate and limiting operating leverage,” said Christian Lawless, Founder and Managing Partner of Conversion Capital. “Vesta has rebuilt the LOS as a modern, extensible platform where lending teams and AI agents can work together across the origination lifecycle, driving down the cost of origination while increasing efficiency and scale. We believe this is the operating architecture the mortgage industry has been waiting for.”

Vesta plans to use the funds to fuel product growth and market expansion. The company is hiring across engineering, implementation, and go-to-market.

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