- Fintor recently announced it raised $6.2 million in funding at a valuation of $80 million. These are the details.
Fintor – a next-gen fintech company enabling easy access to invest in real estate – recently announced it raised $6.2 million in funding at a valuation of $80 million.
Funding amount: $6.2 million
Valuation: $80 million
Total funding raised to date: $9 million
Investors: Public.com, Hustle Fund, 500 Global, VU Ventures, Graphene Ventures and angel investors, including real estate influencer Manny Khoshbin, Andy Madadian, Cindy Bi and Marcus Ridgway, co-founder of Invitation Homes.
Fintor is a company that is breaking down barriers with its investing platform by opening access for anyone to invest in real estate the same way everyday investors can take part in stocks and crypto. And the platform does this by purchasing rental properties, securitizing the asset, and issuing shares of an LLC that owns a property. Through its proprietary Initial Realty Offering (IRO), Fintor launched its first investment properties based in Alabama, Georgia and Tennessee.
How it works: Fintor users can download the app on either iOS or Android to create their account. And once verified, users can start investing in a Fintor property under the IRO with as little as $5 and no surprise user fees. In keeping with Fintor’s mission to democratize access to real estate, no user can invest in more than 10% of the total property value of each asset. Users can buy and sell the shares of an investment property, similar to how assets are traded on the public markets. Shareholders of a property will receive monthly dividends (or passive income) from the rental income and benefit overtime from the appreciation of the property.
What the funding will be used for: The additional funding that was raised will further allow Fintor to continue growing its user base while expanding its number of investment properties. And in the first part of 2023, Fintor is looking to rapidly expand across the country into 20+ markets. This expansion will be introducing $50,00,000+ worth of investment opportunity for its user base.
KEY QUOTES:
“Real estate, as an asset class, is one of the most critical parts in diversifying a person’s portfolio to create robust positioning. We know first-hand just how hard it can be to secure enough funds and navigate the complex process to start investing in real estate, which is why most Millennials and Gen-Zers haven’t considered investing in real estate. It shouldn’t be this difficult. This is why we’re building Fintor. We’re on a mission to not only democratize but demystify the real estate market for individuals who are new to investing and looking to make a smart investment in an asset class that previously wasn’t available to these novice investors.”
— Farshad Yousefi, CEO and cofounder at Fintor
“Real estate is a great investment to make, but the hardest aspect of getting started is saving the initial capital and navigating the complex home-buying processes.. Fintor is revolutionizing this asset class by opening access for its users to invest in a market that has historically ostracized young investors. Our mission at Hustle Fund has always been to support the companies paving the way for future generations. That is exactly what Fintor is doing and we couldn’t be more excited to work alongside Farshad and the team.”
— Elizabeth Yin, General Partner and cofounder at Hustle Fund
