This Week in Proptech

Aug 14

Written By CRETI

This week in proptech was a relatively slow week in real estate tech venture capital with headline-grabbing deals in residential mortgage and commercial office-health technology. Residential (single-family) mortgage technology continues to gain momentum in the US and Europe.

The largest round went to Blend, a San Francisco-based SaaS platform for lenders to speed up and simplify applications for mortgages and consumer loans. Blend raised US$ 75 million, catapulting the company to unicorn status. The round was led by Canapi Ventures, with participation from previous investors General Atlantic, Temasek Holdings, 8VC, Greylock, and Emergence Capital.

The second-largest round went to Habito, a UK based digital mortgage broker that is using technology to bring the mortgage-application process into the 21st century. Habito raised US$ 46 million in a round of Series C funding led by Augmentum Fintech, SBI Group and Mojo.Capital, with participation from various existing investors including Ribbit Capital, Atomico and Mosaic Ventures.

The third-largest round went to Eden Health, a New York-based company that raised US$ 25 million in a Series B lead by Flare Capital Partners, with participation from Greycroft, Aspect Ventures, and other investors. The investment will be used to expand its partnerships with commercial real estate companies and owner-operators to help build healthier places.

What Does This Mean?

The second week of August witnessed a slowdown both in deal and capital volume in real estate tech. The slowdown doesn't come as a surprise as the summer months have typically been slower months in venture capital.

Another big takeaway from this week in venture capital is the focus on innovation and technology solving challenges in single-family residential financing and commercial real estate health and wellness.