This startup which offers home down payment, bags pre-series A funding - A boost to first-time homebuyers
HomeCapital raised an undisclosed amount from key investors like the VCats, , Anand Piramal, Astarc Ventures and others.
One of the milestones in every individual's life is buying a house or real estate. Yet, down payment savings poses as the biggest obstacle when it comes to buying ones dream home. HomeCapital, a start up, is a technology platform that designed India's first down payment assistance programme wherein they aim to provide interest free down payment assistance to home buyers. The startup concluded its first seed funding, raising an undisclosed amount.
The pre- series A funding round was led by Astarc Ventures, with participation from Venture Catalysts, Anand Piramal of the Piramal Group, Singapore Angel Network, Venture Gurukool, Anuj Golecha, Samyakth Capital, Gaurav Gandhi of Essgee group, and Shalin Shah, a renowned Coinbase seed investor.
Post the investment round, HomeCapital Founder Lalit Menghani said, “We have achieved a very strong business validation for the network based home down payment assistance business model for solving the key problem for first time home buyers. We will continue to build the network exponentially and accelerate the housing sector”.
Hari Krishnan, Fund Manager, Astarc Ventures said “Home ownership has been a deep routed aspiration for all Indians and Homecapital solves a very deep problem for prospective home buyers. We are very excited about vertical based financial lending opportunities and Home Capital is a perfect mixture of great time and large opportunity “
HomeCapital began with the objective that everyone should have an opportunity to buy a house at an early stage in life. They believe that buying ones first house early has a compounding wealth effect, increased social security for home buyers and happier lives.
There are very few private companies that address the challenge of housing availability and HomeCapital's initiative reduces the customer acquisition costs for real estate developers, better loan to value ratios for home loan companies and zero-interest burden for home buyers.
The startup has assisted around 500 families in the last 8 months of its operations. The company aims to help accelerate the $100 bn housing industry which is poised to reach approximately $500 bn by 2025.