HomePace, which helps homeowners get early access to their home equity without taking on additional debt or interest payments, secured $7m in its Series A round.
The capital injection was led by LENIX, the corporate venture division of homebuilder Lennar. Other commitments also came from Bling Capital, NextView Ventures and Ride Ventures.
Capital will be used to release a new homebuyer solution, which will give homebuyers with funds upfront to use as part of their down payment when purchasing a home in exchange for sharing a portion of their home future value.
HomePace home equity investments allow homeowners to convert their built-up home equity into money in exchange for sharing a portion of the gains or losses in their home value over time. Customers can use that money however they choose.
Users can receive up to $250,000 in cash.
Founded in 2020, the company reaches homeowners through partners, including Silverdale, Washington-based Connection Credit Union, Los Angeles, California-based University Credit Union, and Tucson, Arizona-based Vantage West Credit Union. Funds will also be used to expand its partnerships.
HomePace CEO and co-founder Joe Cianciolo said, ?Prior to founding HomePace, the challenge of a large down payment required to purchase a home is something my wife and I faced personally when buying our first home for our two children. Were excited to help others facing a similar situation.p>
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