Investors put their money on Homeward's "solid model" amidst coronavirus-related volatility
Real estate company Homeward has rounded up $105 million of growth capital.
Homeward raised $20 million in equity in a financing round led by Adam Street Partners, with participation from Javelin Venture Partners and LiveOak Venture Partners. The startup also secured $85 million in debt from various institutional lenders.
The company said that it would use the funding to buy more homes for its customers and expand its agent partnerships.
"Despite COVID-related volatility, we've continued to see strong customer and agent demand for our offering. Housing inventory is low right now, but demand remains high, and customers are using our non-contingent cash offers to beat out other bidders," said Tim Heyl, founder and CEO of Homeward.
The announcement came on the heels of Homeward's initial funding round, in which it closed on $4 million equity funding and $21 million in debt funding.
"We are a selective investor, particularly in the current environment, but Homeward stood out," said Jeffrey Diehl, managing partner and head of investments at Adam Street. "The company is growing rapidly, has strong leaders with deep industry experience, and has impressive traction with agent partners."
"Homeward solves a long-term pain point for realtors and their clients by making offers more competitive and home sales more certain," said Jed Katz, managing director of Javelin Venture Partners. "We think they have an A+ team and a solid model that's well-positioned to scale in a way the industry and the capital markets will embrace."
