SERVICEMAGIC FORMS JOINT VENTURE; LAUNCHES SERVICEMAGIC LENDING New Service Helps Connect Homeowners and Lenders

Author by Anonymous

SERVICEMAGIC FORMS JOINT VENTURE; LAUNCHES SERVICEMAGIC LENDING

New Service Helps Connect Homeowners and Lenders



GOLDEN, Colo. (October 16, 2003) – ServiceMagic (www.servicemagic.com), the nation’s leading online marketplace connecting homeowners to prescreened, profiled and customer-rated home services contractors and real estate professionals today announced the launch of ServiceMagic Lending, a service that connects consumers to prescreened lenders. ServiceMagic has formed a joint venture with Cornerstone Mortgage, a wholly-owned subsidiary of First National Bank of Omaha, to bring ServiceMagic Lending to its’ over 3 million monthly website visitors.

“Currently over a million homeowners per year request home improvement and real estate services valued in excess of $3 billion via ServiceMagic. The addition of lending services was the next step in our effort to provide consumers a comprehensive solution for purchasing, financing, and improving their homes,” said Rodney Rice, co-founder of ServiceMagic.

The company estimates there are in excess of two million residential contracting, real estate and consumer finance businesses in the U.S. which spend over $30 billion per year via offline advertising. ServiceMagic’s 45,000+ business customers use the service as a more cost effective lead generation and prospecting tool as compared to offline marketing mediums.

    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
-more-



Page 2

With the launch of ServiceMagic Lending, banks and mortgage brokers are now able to take advantage of the inherent efficiencies of ServiceMagic’s web-based marketing platform. Banks and brokers are now able to acquire new customers at a fraction of the cost of direct mail, newspaper, yellow pages, radio or TV advertising.



About ServiceMagic.com

ServiceMagic, Inc., formed in 1998, is the leading online marketplace connecting homeowners to prescreened, profiled and customer-rated residential contractors, real estate professionals and lenders. ServiceMagic serves over one million homeowners and over 45,000 business members, facilitating over $3 billion in home services spending annually. ServiceMagic’s website, www.servicemagic.com, is one of the Internet’s most popular destinations, generating over 3 million unique visitors per month. Industry projections suggest that the 101 million U.S. households spend more than $200 billion annually on home services, over $45 billion per year in real estate services and over $1.5 trillion on home loans. The company is changing how people buy and sell these services by creating a better connection between homeowners and service businesses matched to and interested in their needs. ServiceMagic’s proprietary technology platform quickly matches consumer requests with local service professionals. Consumers can also access an extensive resource center that includes tips and expert advice on hundreds of home-related topics.

CONTACT:

Rodney Rice

ServiceMagic, Inc.

303-963-7223

publicrelations@servicemagic.com