In the face of an unprecedented crisis in the real estate credit sector, Pretto, a 100% digital mortgage broker, achieved a remarkable feat: doubling its market share between 2022 and 2024. While the volume of real estate loans in France dropped by nearly 60% over the same period, Pretto’s resilience can be attributed to a combination of strategic factors, from its agile business model to its increased use of artificial intelligence (AI).
Pierre Chapon, co-founder and CEO of Pretto, highlights that this difficult period demonstrated the strength of their approach: “We managed to leverage the crisis not only to maintain our business but also to gain market share. This translated into an increase in our loan production, supported by our ability to quickly adapt to our clients’ needs.”
Agility Boosted by Innovation
One of the key factors behind this success lies in Pretto’s continuous innovation. By integrating solutions based on generative AI, the company freed its brokers from low-value tasks, optimizing file management and enhancing the customer experience. This technology automates the analysis of borrower documents and helps present more complete files to banks. “Our goal has always been to redefine the standards of mortgage brokerage, offering a service that is both efficient and human, even in times of crisis,” explains Renaud Pestre, COO of Pretto.
The innovation strategy was twofold: on the one hand, maintaining an online brokerage service via Pretto.fr, which saw a significant increase in demand, and on the other hand, launching Pretto Galaxie, a network of independent brokers across France, which now accounts for 40% of the group’s total loan production. This hybrid model, combining digital and local proximity, allowed Pretto to cater to a wide variety of clients, further strengthening its market position.
A Transforming Market
The challenging macroeconomic context has accelerated changes in the brokerage sector. While the demand for real estate credit was decreasing, Pretto focused on a qualitative approach, prioritizing personalized support for its clients. The ability to offer a seamless experience, from online simulations to finalizing the loan application, convinced many borrowers to choose this digital broker over traditional players.
Pretto also enriched its service offering by developing high-value-added solutions, such as its DataLab, which provides market insights based on over 700,000 annual simulations. This tool allowed Pretto to position itself as an expert in real estate credit trends, offering its clients an unprecedented level of transparency and responsiveness.
A Funding Round to Support Expansion
To support this growth momentum, Pretto announced a new €14 million funding round in October 2024. This operation, carried out with its historical investors (Serena, Eurazeo, Orange Ventures, Kernel, Alven, and BlackFin Capital Partners), was completed at a valuation similar to its last €30 million round in early 2022.
This financing will enable Pretto to accelerate the development of its Pretto Galaxie network and invest further in its AI-based technologies. “We now have everything in place to continue our goal of becoming the leader in real estate brokerage in France,” says Pierre Chapon, who expect to reach profitability by mid-2025
