London based property lender secures £105m investment to aid first time buyers
A London property lending firm has raised £105m investment through debt and equity funding as it aims to support more people become homeowners.
The new investment in neo-lender Proportunity follows a £7.3m funding round in 2020 for the London-based fintech.
This latest debt and equity round was led by VentureFriends, Kibo Ventures and existing investors Anthemis, Entrepreneur First, and new UK proptech investors Amro Partners.
The new investment will enable Proportunity to grow its team and will go towards lending to more than 2,000 individuals and families to help buy their first home or progress up the property ladder.
The funding will also increase Proportunity’s maximum loan size from £90k up to £150k per home, boosting affordability for buyers.
Vadim Toader, Proportunity CEO and co-founder said: “We’re delighted with the success of this latest investment round which will enable us to help thousands of people in the UK own their first home or progress up the property ladder.
“In the UK there is a £100-200K gap between what buyers want and what they can afford, mainly caused by maximum income/mortgage ratio restrictions and high deposit requirements.
“In a market of fast-rising house prices, first-time buyers and those wishing to progress on the property ladder are facing a losing battle. Proportunity provides a solution which closes the gap and helps buyers afford the property they want in the communities where they want to live.”
VentureFriends partner, George Dimopoulos said: “We’ve been investing in proptech startups that improve the real estate journey since 2016. In Proportunity we saw a product that can positively impact the lives of thousands of FHBs.
“Proportunity directly addresses the pain of FHBs, it makes housing more affordable and more attainable while also sharing the house price risk, instead of putting the risk solely on the FHB and/or their family.”
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