- General
- October 25, 2018
- 5 minutes read
Charlotte based real estate startup Ribbon raises $225 million
image : Ribbon Real estate startup Ribbon has closed on $225 million in a Series A debt and equity financing…
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| image : Ribbon |
Real estate startup Ribbon has closed on $225 million in a Series A debt and equity financing round to fuel expansion of its service which involves simplifying and making easier the process of home buying to more locations.
The Charlotte based startup offers new personalized home valuations, a mobile experience for Realtors and a new pricing model that is free to buyers and plans to get into 10 more markets by the end of this year. It already operates in the Charlotte, Cary, Asheville, Fort Mill and Indian Land regions indicating a target for markets where homebuyers go through more difficult processes during the purchase process.
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| image : Ribbon |
The debt/equity split for this round has not been disclosed but already existing investors Bain Capital Ventures, NFX, Greylock and NYCA. The company has signed up Realtors from major brokerages and has secured partnerships with big real estate firms leading to a growing adoption of its platform which it says represent over $2 billion in annual home sales in city of Charlotte alone.
“Buying a home is a milestone to be celebrated and enjoyed. However, if you are a first-time homebuyer or you need to sell your existing home prior to buying a new home, the current homebuying process is an intimidating and stressful experience,” said Ribbon CEO Shaival Shah who was notably the former head of strategic development at LendingClub, a leading peer-to-peer leading platform with operations in the real estate scene.
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| image : Ribbon |
“We solve this problem by buying and reserving a home for a family, so they can secure their mortgage in peace without the risk of losing the home they love. For the first time, we are bringing simplicity to the real estate transaction by absorbing all risk, so buyers, sellers and Realtors can focus on the joy of the home buying and selling experience.” Shah stated.
The company’s team is made up of persons from the likes of Airbnb, Twitter, Blue Apron, Spotify and Invitation Homes who have overseen the sale and purchase of over 20,000 homes throughout their careers. Applying this to Ribbon, They aim to scale its service into new regions with this capital providing an edge for the company as it gets into more markets.
