PropTech firm Nested, which provides loans to home buyers, has closed a £36m round led by Rocket Internet’s Global Founders Capital.
The company, which announced a £8m round led by Passion Capital in March, has now raised almost £50m in total.
Nested provides home sellers with a maximum advanced loan of 97% of their property’s value before they sell their house, so that they can purchase a new one without having to enter into a chain.
The firm was founded by Matt Robinson, who previously co-founded GoCardless, an online payments company.
Robinson commented: “This latest round of funding is recognition of the demand we’ve seen from home sellers in London. We’re already guaranteeing tens of millions of pounds worth of homes each month, and are delighted to be helping so many people with what is one of the biggest transactions any of us make in our lifetimes.”
He went on to note that the home buying and selling system in the UK was broken, highlighting how one in three sales fall through.
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“Worse still, home sellers don’t know the only two things that matter – how much they will sell for and when they will receive the money – until after their property is sold. With Nested, both of these are guaranteed from day one saving sellers months of stress without needing to compromise on end sale price. We fully anticipate being people’s preferred way to sell their home in the coming years. Based on current demand, we expect to be doing 1% of London home sales in the next few months and 5-10% in the next year,” he added.
Oliver Samwer, co-founder of Rocket Internet & GFC, explained why he invested in the company: “Nested is transforming the UK property market and is one of the fastest growing startups in Europe right now. No other business has an answer to the fundamental lack of certainty in the property market, and this allied to their valuation accuracy and obsession with making it an amazing experience for customers is what will continue to drive their impressive growth.”
Nested says it will use the cash to continue growing as it seeks to expand nationwide in the near future.
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