National expansion plans turn to business shutdown preparation
Real estate startup Reali has joined the list of companies shutting down amid the inflation-driven housing recession. The San Francisco-based fintech company said it will cease operating and start laying off most of its workforce on September 9.
Earlier this year, Reali announced plans to expand outside California and into other states by the end of 2022. However, things went south due to “challenging real estate and financial market conditions” and an “unfavorable capital-raising environment,” Reali cited.
Read more: Reali eyes national expansion after 2022
The company determined the best course of action was to close. “Active real estate transactions will continue to be supported through the end of the year by a small team of employees,” Reali said in a statement.
Founded in 2016, Reali provides a “one-stop shop” for home buying and selling, including mortgage origination, title and escrow, and power buying. According to the company’s press release, Reali is in talks with companies that have expressed interest in acquiring these specific parts of its business.
Reali co-founder and chairman of the board Amit Haller commented: “Reali was one of the pioneering companies to offer the ‘buy before you sell’ and ‘cash offer’ programs to homeowners. We believed deeply in benefiting the consumer foremost in every transaction. The six years Reali spent evolving the prop tech market in California helped elevate and transform the industry.”
“We had an incredible six-year run delighting homeowners,” said Reali CEO Tyler Baldwin. “We want to extend our deepest gratitude to the thousands of homeowners who trusted Reali with their homeownership journeys, the Reali team, our investors, and those who rooted for us from the sidelines. It has been a pleasure to serve our communities.”
