Robinhood Home Loan Offering: Segment, Down Payment Journey and Build-vs-Partner

You are a product manager at Robinhood, the investing app known for commission-free trading. Design a mortgage product for Robinhood: who it is for, what problem it solves for them, what it offers, and how it fits with the rest of Robinhood. ```hint Start from where the down payment sits Think about how a Robinhood customer's path to buying a home differs from a typical borrower's, especially where their down-payment money is held today, and use that to decide what a Robinhood mortgage should do that a bank's would not. ``` ### Clarifying Questions - Should Robinhood fund and underwrite loans itself, or work with an established lender while owning the customer experience? - Does the scope cover home purchases only, or also refinancing and borrowing against home equity? - Is the product only for existing Robinhood customers, or also a way to bring in new ones? - What is the main goal: lending revenue, keeping customers' assets on the platform, or serving customers as they reach new life stages? ### What a Strong Answer Covers - A segment chosen from Robinhood's customer base, with a clear business reason for entering mortgages - The borrower's path from saving a down payment to closing, and the specific pain points the product removes - A differentiated offer that uses what Robinhood already has (customers' holdings, its subscription, its app) and a reasoned build-or-partner decision - Mortgage-specific risks: interest-rate cycles, credit and collateral risk, lending regulation and fair-lending duties, and the brand risk of encouraging borrowing against volatile portfolios - Metrics across the funnel, unit economics and customer outcomes, with guardrails ### Follow-up Questions - Would you let customers pledge their investments as collateral instead of selling them for a down payment? What happens to those customers in a market crash? - How would the product hold up if mortgage rates rose sharply in its first year? - What evidence would make you move from a partner lender to originating loans in-house?