Propy announced it has secured a $100 million credit facility from Metropolitan Partners Group to finance an AI-led consolidation of title and escrow companies, with the goal of building an end-to-end closing platform and reducing friction and costs in residential real estate transactions.
The company, which uses AI and blockchain-enabled workflows to automate parts of the closing process, framed the initiative as a push to address inefficiencies that can drive transaction costs toward 10% of a home’s value. Propy said it has launched an AI agent designed to perform some escrow officer functions, including monitoring emails, opening transactions around the clock, checking bank accounts, and making calls to lenders and homeowners associations.
Propy said it has seen inbound M&A interest in its roll-up strategy, recently completed a $5 million acquisition, and entered into a letter of intent for a third deal valued at $6 million, with roughly $75 million in its active pipeline. The company plans to target acquisitions of licensed firms generating $5 million to $20 million in annual revenue across California, Texas, Tennessee, and other states, retaining local teams while using automation to increase volume and expand margins. Propy said upgraded workflows can cut manual workloads by up to 70%, with blockchain used as supporting infrastructure for auditability and settlement security.
Metropolitan said it structured the facility around licensed, cash-flowing title businesses and emphasized downside protection tied to the underlying operations. Propy said it has processed more than $5 billion in transactions since 2021, with transaction volume roughly doubling year over year, and is targeting approximately $100 million in additional annual revenue through continued consolidation. The company also highlighted an advisory board that includes former U.S. Treasury and SEC officials, along with industry and AI leaders, and said it is backed by Tim Draper and other investors.
KEY QUOTES
“We’re building the infrastructure layer that allows real estate to operate on par with modern financial markets: AI-enabled and more liquid.”
Natalia Karayaneva, Founder and CEO, Propy
“We are pleased to support Propy as it brings much-needed efficiency and transparency to residential real estate transactions. As a capital provider to growing, asset-backed businesses, we were drawn not only to the underlying durability of title and escrow operations but also to Propy’s practical approach to improving the closing process with next-generation AI tools. We look forward to partnering with Natalia and the Propy team as they continue to expand and make real estate transactions simpler, faster, and more cost-effective for consumers across the United States.”
Paul Lisiak, Managing Partner and Chief Investment Officer, Metropolitan Partners Group
