Better Home & Finance Holding Company (BETR) Securities Class Action

On March 13, 2026, Better Home reported its Q4 2025 financial results, touted its funded loan volume growth and its conversion rates (the process of converting website visits or mortgage applicants to actual funded loan customers)

During the earnings call that day, then CEO Vishal Garg advised investors that “[w]e remain on track to reach $1 billion in monthly volume by May 2026 and to reach adjusted EBITDA breakeven by the end of the third quarter 2026.” In addition, CFO Loveen Advani assured investors that “Better continues to generate opportunities independent of broader economic and mortgage market conditions[]” and “[w]ith a large addressable market and less than 1% share today, we have demonstrated the ability to grow regardless of macro conditions.” 

The lawsuit is focused on the propriety of these and other assurances given to investors by the company and its management.

More specifically, according to the complaint, Better Home did not disclose crucial information to investors – namely, that the company’s conversion funnel was already slowing due to macro factors and, as a result, the $1 billion monthly funded loan target was likely to be deferred.  

Investors learned the truth on May 7, 2026 when Better Home reported dismal Q1 2026 results. Instead of hitting monthly $1 billion in loan volume, the company slashed the number and said that for the three months comprising Q2 investors should expect slower quarterly loan volume of just $1.65 billion at the mid-point.  In other words, in contrast to being “on track to reach” $1 billion monthly loan volume, Better Home’s new target of just $550 million loan volume per month represents a whopping 45% miss.

In addition, net loss sequentially increased 75% and year over year increased 39%.  

During the earnings call that day, Garg admitted “conversion rates are down from where they were in Q1 due to macro factors.”

The market swiftly reacted, sending the price of Better Home shares down over 28% that day. Year to date, the stock is down nearly 60%.

FREQUENTLY ASKED QUESTIONS ABOUT THE CASE

What is the BETR investigation about?

We are focused on when Better Home knew it was not resilient to macroeconomic factors and that its $1 billion monthly loan volume target was unattainable.

WHAT SHOULD I DO?

I worked at BETR. What should I do?

If you were an employee of BETR, you may have valuable information that could be relevant to the investigation. Hagens Berman is one of the nation’s top whistleblower law firms, and has successfully represented many individuals who come forward with information regarding corporate malfeasance. Under the new SEC Whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, contact Reed Kathrein at 844-916-0895 or [email protected].

There are multiple law firms participating, do I need to contact all of them?

No, you do not need to contact all participating law firms. Generally, class-action investigations and lawsuits are consolidated into a single case to streamline the legal process, and attorneys from only a few law firms are selected to serve in a leadership role on the consolidated case. Hagens Berman has a proven track record of being appointed to leadership roles in complex, multidistrict litigation regarding investor fraud and other consumer rights issues, and your claim will be handled by attorneys who have helped secure approximately $325 billion in class-action settlements on behalf of individuals who have suffered due to corporate malfeasance and the wrongdoing of other powerful institutions.

AM I ELIGIBLE?

What is the threshold amount to be eligible? What are “substantial” losses?

The threshold amount and the definition of "substantial" losses may vary depending on a number of factors specific to the case, including the size of the company, market cap, shares outstanding and who holds them and the damages alleged by the fraud. In general, to be eligible to participate in a class-action lawsuit, you must be able to demonstrate that you suffered financial losses as a result of the alleged wrongdoing and that your losses meet the criteria set by the court or law firm. Fill out the form and submit your losses.

CAN I PARTICIPATE?

Am I affected? What do I need to do to participate?

If you were an investor in BETR, you may be affected and eligible to participate in the case. To determine your eligibility and potential involvement, fill out the form and submit your losses.

Can any BETR investor participate?

In most class-action investigations and cases, any investor who meets the eligibility criteria, including purchasing the shares during the relevant period, can participate, regardless of the size of their investment. Fill out the form to find out your rights.

I bought on a non-U.S. Exchange. Can I participate?

No. This investigation only covers shares bought on a U.S. exchange, i.e. NASDAQ or NYSE. Fill out the form to find out your rights.

Am I included if I still hold my shares, or do I need to sell to participate?

Participation is based on purchasing shares during the relevant period, rather than your current holdings. Accordingly, you do not need to sell to participate. Fill out the form to find out your rights.