Weekly Proptech: Friday, July 8, 2022

Written By CRETI
 
 
 

This Week in Proptech

$61 million was invested across 17 companies at a median funding amount of $2.7 million. The proptech market kicked off the short week with a crucial industry-sounding alarm 🚨—funding, or the lack thereof.

Funding activity in the U.S. resembles similar patterns of investing behavior identified in week 1 and stresses the importance of the U.S. venture capital ecosystem. Amongst the top 10 largest rounds, 40% went to EMEA-based companies, 40% went to APAC, and 20% went to the US.

Why Does This Matter?

The real estate industry has historically been known as a hedge 💰 against inflation 🏦. But not all asset classes are created equally and especially not when it comes to tech.

The proptech market is on track to perform at 2021 levels and the technology flowing into real estate sectors and service lines is starting to create a noticeable divide. In some regard, the proptech market is moving in parral with the real estate sector and creating recession-resistant strategies to future-forward businesses.

A real estate sector to pay close attention to is the appraisal and valuation business. Not only has the appraisal and valuation industry historically been recession-proof, but the sector has generally been void of meaningful innovation

What Does This Mean For Proptech?

80% of all real estate transactions are financed. If a property has debt 💸, it's been appraised. However, the increased demand for appraisals have not kept up with supply, creating an industry thirsty for innovation across residential 🏡 and commercial 🏢 real estate.

CRETI Venture Capital Index

CRETI Proptech Index
The CRETI Proptech Index is a private market real estate technology index tracking the financial performance of the proptech industry. It is the most followed proptech venture capital indices, globally. Contact us to learn more.

TOGETHER WITH CRETECH

Where Global Real Estate Trailblazers Meet, Speak, and Leap into the Future

CREtech, the largest international community of professionals devoted to technological innovation in the real estate sector, announced today that speakers from Blackstone, Hines, Ivanhoe Cambridge and Tishman Speyer will join the speaker lineup for CREtech’s flagship event and largest real estate technology conference, CREtech New York, taking place this October 12-13.

Notable Rounds of Funding

  • July 7, 2022 — Adaptive, an NYC-based back end work automation platform for the construction industry, raised a $6.5 million Seed round led by Andreessen Horowitz with investments from Box Group, Exponent Private Equity, Third Kind Venture Capital, and Definition Capital.

  • July 2, 2022 — Properti, a Zurich-based tech-enabled brokerage, raised a $6.2 million Seed round led by Serpentine Ventures with investments from Sparrow Ventures and Ertan Wittwer.

  • July 1, 2022 — Hammock, a London-based platform that helps landlords reconcile transactions on the go, raised a $4.8 million a Venture Round led by Fuel Ventures with investments from Ascension Ventures and Second Century Ventures.

 
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Weekly Proptech: Friday, July 15, 2022
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Weekly Proptech: Friday, July 1, 2022