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SSM One (t / a Proportunity) Secures £ 184.7m of Series A and Debt Investment Led by Venture Friends – UK Tech Investment News

FinTech NeoRender offers homebuyers up to £ 150,000 in equity loans with a small deposit, allowing them to buy their beloved home a few years ago. Proportion We plan to use this money to grow our team and allow buyers to own a $ 1 billion home. This new funding will increase Proportunity’s maximum lending from £ 90,000 to £ 150,000 per home, further increasing the affordability of buyers and allowing them to actually buy their beloved home.

Following the burgeoning momentum of the housing market, London-based new lender Proportunity has raised $ 150 million through a mixed debt and equity round in addition to the recent $ 10 million debt round in 2020. I procured it. Income is flat and home prices are rising by helping more homebuyers ride on home ladders in markets that are struggling to save enough to buy homes.

Eighty-five percent of UK renters want to own their own home, but because high security deposit requirements and soaring home prices are putting pressure on affordability for those trying to ride a home ladder. can not. In 2020, 65% of First Home Buyers (FHBs) cited deposits and affordability as their main obstacles. Limited solutions are available. Banks lend up to 4.5 times more income and require large deposits to mitigate the risk of home prices. They are blocked from low deposit lending by regulations and capital requirements, all of which are exacerbated by Covid-19. Help to Buy, a government scheme that provides solutions to new buyers, serves only 10% of FHBs and is scheduled to end in April 2023.

Proportunity offers homebuyers a homebuying equity loan similar to Help to Buy, but is available. In any home It’s not just new builds. It allows them to afford a home with only 5% deposit and reduces the amount they need to save. Proportion equity loans of up to £ 150,000 or 25% of home prices are on top of the largest mortgages available from mainstream lenders.In addition to mortgages that earn up to 4.5 times, equity loans allow buyers to be effective Borrow up to 6 times more incomeBridging the £ 150,000 gap between what borrowers love and what they can buy. The company can do this through machine learning technology that helps identify fair-value homes in potential growth areas, mitigate the risk of lending, and eliminate the need for large deposits. ..

Evidence of success is an annual return of 50% better than the Home Price Index (HPI) of the property selected in proportions. FHB can also get the homes it wants, as demand for more affordable homes in up-and-coming areas correlates with high-growth areas and real estate.

Proportunity’s $ 150 million debt and equity round is led by VentureFriends, Kibo Ventures, existing investors Anthemis, Entrepreneur First, and new UK Proptech investor Amro Partners. Proportunity plans to use this money to grow the team to help buyers own $ 1 billion worth of homes in the UK. With this new funding, Proportunity will be able to increase its maximum loan amount from £ 90,000 to £ 150,000 per unit, further increasing the affordability of buyers and allowing them to actually buy their beloved home.

Venture Friends Partner,George DimoprosSaid: “We’ve been investing in Proptech startups to improve real estate travel since 2016. In proportions, we’ve seen thousands of products that can have a positive impact on FHB’s life. Proportunity Founders Vadim and Stefan have experienced the pain of trying to ride a residential ladder on their own and have been impressed with their resilience, motivation and progress so far, with proportions of FHB. Instead of dealing directly with the pain and putting the risk on the FHB and its families alone, it makes homes more affordable and easier to achieve while sharing the risks of home prices. “

Javier Torremocha of Kibo Ventures said: “We were very impressed with the vision and execution capabilities of the team led by Vadim and Stefan. Proportunity is at the very attractive intersection of proptech and fintech, making first-time homebuyers a dream home. By providing access to, we are helping to make a positive impact on people. Kibo Ventures is a unicorn such as payment company Flywire (Nasdaq $ FLYW), labor force as a service JobandTalent, Micromobility Tier An early backer and believes Proportunity may join this exclusive club. Kibo Ventures has an early investment in consumer and enterprise software to support the international expansion of European companies. I am. ”

Ruth Foxe Blader, Anthemis Group Partner, said: “Anthemis is excited to continue supporting Proportunity’s journey to help first-time buyers get a great home. Despite the challenges of Covid’s blockade and market uncertainty. , This team of excellence has continued its journey of growth on multiple fronts. We are excited about the next chapter! “

Vadim Toader, CEO and co-founder, said: “In the UK, lenders mainly limit what they lend to up to 4.5 times their income and high deposit requirements, so between what buyers want and what they can pay, £ 100,000 to £ 200,000. There is a gap. Combining this with rising home prices and the need for additional bedrooms in the new “work-at-home” environment makes it easy to see that buyers are facing a defeat. Proportunity lends up to £ 150,000 to a mortgage, filling that gap and allowing buyers to buy what they want, such as the ability to live in an additional bedroom, yard, or neighborhood with a good school. To solve. With this new funding, we can help thousands of people ride on residential ladders. Join us in our mission to enable home ownership for everyone. “

So far, Proportunity has already helped people own more than £ 65m.

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SSM One (t / a Proportunity) Secures £ 184.7m of Series A and Debt Investment Led by Venture Friends – UK Tech Investment News

Source link SSM One (t / a Proportunity) Secures £ 184.7m of Series A and Debt Investment Led by Venture Friends – UK Tech Investment News

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