How HomeLight Will Use $109M to Build the Real Estate Transaction of Tomorrow: Series C Announcement

What we’re building at HomeLight is personal to me. It’s personal to those on the team who’ve experienced letdowns in real estate. It’s personal to the over 5 million people who sell a home in any given year. And if you’re one of the 75% of non-homeowners who see homeownership as part of the American Dream — it’s personal to you.

Consider this:

• Rather than hire the most objectively qualified agent for their needs, 4 out of 5 sellers hire one of the first two agents they happen to meet.
• On average it takes 69 days, or over two months, to sell a home.
• On average it takes 42 days to close on a loan.
• 20% of recent settlements were delayed while 4% were cancelled altogether between April and June of 2019. 35% of those delays were caused by issues related to buyer financing. That’s 2.1 million home buyers and sellers impacted every year with the process completely failing for nearly 800,000 of them.
• Between market prep, taxes, fees, and commissions, it costs nearly $21,000 to sell a home in 2019.
• Buyers pay 2%-5% in closing costs, including lender fees which are typically 1%-3% of the loan’s value on a conventional mortgage.

Those statistics are terrifying to read and even more terrifying to live through. I know, because it happened to me. We almost lost the home of our dreams, the tens of thousands of dollars we’d saved for our down payment, and our sanity because someone else made a promise they couldn’t keep — and far too many others have too.

The biggest transaction of our lives came together on a hail mary. Some people aren’t so lucky.

That’s why I started HomeLight.

Since our launch in 2012, we’ve solved one of the challenges buyers and sellers face: finding the perfect real estate agent for their specific needs. As a result, we’ve helped over 440,000 clients, and generated well over $17 billion of new business for thousands of the best real estate agents in the country.

We knew we couldn’t stop there. In 2019, we’ve committed to deliver on a greater vision that buyers and sellers deserve: A world where real estate transactions are simple, certain, and satisfying every time. And we’re just getting started…

To fuel this vision, we raised $109 million in committed capital led by Zeev Ventures with participation from Stereo Capital and existing investors including Group 11, Crosslink Capital, Menlo Ventures, and Citi Ventures. We’ll use this capital to create the future of real estate and become a full-service end-to-end real estate platform that delivers on the long overdue promise of a transaction people can actually feel good about.

What that means at HomeLight:

Real estate is human.

While other companies in the industry spend millions to eliminate the real estate agent, HomeLight fundamentally believes that’s the wrong approach. Where others see machines and Wall Street, we see humans and Main Street.

We hear from clients about how the “perfect agent” they found through HomeLight made their lives easier. These agents step in to help during the tragic passing of a beloved spouse, or to clear mounds of clutter that their clients have no idea how to face alone. These all-star agents are worth their weight in gold and that’s not going to change.

Sellers deserve to have options.

Not all customers will choose to sell their home by engaging a real estate agent and listing it on the MLS. That’s fine, it’s not the right choice for everyone. But these clients still deserve the same level of service, the best offer, and the full backing of HomeLight’s data and analysis. We launched Simple Sale™ earlier this year to help folks sell to a new type of buyer — the iBuyer who pays all cash and can shrink the closing process to a matter of days. We’ll continue to bring the same data backed approach as new options emerge.

Mortgages need more than a Band-Aid fix.

Waiting weeks or months to move into your dream home is a total pain. Losing the home of your dreams or your deposit because someone else screwed up? Heartbreaking. HomeLight Home Loans solves this. We’ve built a faster application and underwriting process that lets us guarantee we can close in 21 days with zero lender fees and transparent rates.

Closings shouldn’t leave clients in the dark.

“Nod along, sign here, and pay up” should not be the closing experience. This year, we rolled out HomeLight Title and Escrow because we’re tired of buyers and sellers being the last to know what’s going on. It’s their money on the line. It’s their future hanging in the balance. We’ll never ask you to scan and send sensitive information or cough up the cash for junk fees.

In the right hands, tech isn’t just powerful – it’s magical.

Putting the best tech in real estate into the hands of the best real estate agents will unlock superpowers and change the process of buying and selling homes in ways others never thought possible. HomeLight Closing Services does just this and is here to support, not displace, the best real estate agents in the world. This includes direct access to our network of Simple Sale investors, our top-of-the-line mortgage, escrow, and title services, and additional offerings as they are announced.

We stand on the shoulders of giants

Our clients

Thank you for choosing HomeLight and for trusting us with one of your largest financial transactions now and in the future. We won’t let you down.

Real Estate Agents

We’re keenly aware that we don’t walk alone. Real estate agents are the backbone of the industry and the ones out there every day working hard on behalf of  interfacing with buyers and sellers. Without your insights and expertise, we’d be lost.

Our investors

Along the way, we’ve had the support of exceptional investors. We’re able to move fast, dream big, and accomplish great things in no small part because of their continued support. It’s been nothing short of incredible to work with them for the past seven years. A special thanks to Dovi at Group 11 who has not only has been with us since our seed round but also introduced us to Oren.

The HomeLight team

I wake up every morning and run (not walk) to join you. I see inspiration, brilliance, and a deep commitment to our customers every day and in everything you do. You bring your true selves to work and never back down from a challenge. From our first five to our now over 200 team members (even a few with HomeLight tattoos) I’m proud to call you family. Stay true to our beginnings: dream big, work hard, stay humble, and act scrappy.

Cheers to the next chapter,

Drew Uher

CEO and Founder of HomeLight