San Francisco-based Opendoor, an online real estate marketplace, has secured $325m in Series E funding.
General Atlantic, Access Technology Ventures and Lennar Corporation led the round. Andreessen Horowitz, Coatue Management, 10100 Fund, Invitation Homes, Norwest Venture Partners, Lakestar, GGV Capital, New Enterprise Associates and Khosla Ventures also participated. The funding, which it will use to expand into 50 U.S. metropolitan areas by 2020, takes its valuation past the $2bn mark according to reports.
The company has now raised $645m in equity capital and $1.5bn in debt financing since launching in 2014.
Founded by a number of tech entrepreneurs, including RentAdvisor co-founder Eric Wu and venture capitalist Keith Rabois, Opendoor aims to help homeowners sell their property more quickly by offering to buy it from them.
Instead of hiring a listing agent, they upload information about their home on Opendoor’s website and receive a cash offer from the startup, usually within 48 hours. If the homeowner accepts, Opendoor makes minor repairs and puts the property on the market.
The company uses a market data and software tools to understand how much it can make by buying, fixing up, listing and selling homes.
In January, Opendoor closed a $136m investment led by Fifth Wall and Lennar. A ‘significant portion’ of the funding also came from funds managed by Rialto Capital Management.
This investment followed Opendoor’s $210m Series D round it raised at the end of 2016. That funding was led by Norwest Venture Partners and saw participation from a selection of other investors including NEA, Kholsa Ventures, GGV Capital and Access Industries, among others.
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