Real estate tech startup HomeLight raises $115 million in late-stage funding; now valued at $1.7 billion
HomeLight, a real-estate home technology platform that helps homebuyers make cash offers on homes, has raised $115 million in Series D funding that valued the prop-tech startup at $1.7 billion. The round includes $60 million in equity and $55 million in debt. HomeLight will use the funding proceeds to expand the feature in new markets.
The funding comes at a time when other real estate companies are laying off people as the U.S. housing market starts to cool off due to rising mortgage rates and rising inflationary pressures. While other companies are still struggling to stay afloat, HomeLight had $3 billion in referred transaction volume during the first quarter of 2022 alone, said Drew Uher, founder and CEO of HomeLight.
In addition to the funding, HomeLight also announced today it is acquiring Accept, a Denver-based fintech lending startup that gives homebuyers a way to submit all-cash offers on a home. The acquisition makes HomeLight the largest agent-focused cash offer program in the country.
Founded in November 2012 by CEO Drew Uher and COO Sumant Sridharan, the Scottsdale, Arizona-based startup streamlines the home buying process by facilitating contingency-free transactions. The company is also famous for its popular TV ad.
To help potential home buyers, HomeLight analyzes home sales data across the country to determine an agent’s strengths and weaknesses. The startup then uses the result of the analysis to deliver recommendations for home buyers based on things like price range, crime rate, city, neighborhood, property type
“In a time period with so much volatility in the capital markets, our business is stronger than ever,” said Drew Uher, founder and chief executive officer of HomeLight.
HomeLight’s platform bridges the gap between home buyers, sellers, and real estate agents. The startup originally started as an online lead generation service, matching buyers and sellers with real estate agents, before branching out into mortgage lending and instant buying.
HomeLight service currently covers more than 40 U.S. markets, with records for over 2 million agents. Its backers include Google Ventures and Group 11.