PropTech startup Casavo just bagged $409 million (€400 million) in Series D funding, EU Startups reported Tuesday (July 19). An initial €300 million was invested by Intesa Sanpaolo and Viola Credit, while Exor added another €100 million.
Previous investors include Neva SGR (Intesa Sanpaolo Group), Endeavor Catalyst, Hambro Perks, Fuse Venture Partners, and angel investor Sébastien de Lafond. Existing investors include Greenoaks, Project A Ventures, 360 Capital, P101 SGR, Picus Capital and Bonsai Partners.
The company will use the new capital to expand its operations into France.
Founded by Giorgio Tinacci in 2017, Casavo is a digital property platform that offers free appraisals to sellers, generates a quick offer, buys the property and then renovates it to sell at a profit. The startup has gained traction in its native Italy and in Spain. It also expanded to Portugal this year.
Casavo is changing how people sell and buy homes in Europe. It uses a dynamic pricing model to evaluate the financial potential of each home, calculating what the value will be post-refurbishment based on data it has on similar properties.
The company has reported that it tripled its user base in 2021 and the company has handled €1 billion worth of transactions.
Tinacci said: “This combination of equity and debt is a recognition of our relentless focus on sustainable growth and confidence in our long-term vision. The round will allow us to consolidate our leadership in Europe by growing across our existing markets in Italy, Spain and Portugal, while expanding into new ones, with France being a priority.”
He added that “we’ll continue investing in our mission to simplify the way people sell and buy homes, having evolved from a pure home-buying platform to a leading next-generation European residential marketplace.”
Exor Seeds’ Noam Ohana commented: “Casavo is becoming the clear European PropTech leader and we are excited to continue the journey with Giorgio. Despite turbulent market conditions, the team has executed extremely well to date and we are optimistic about the future.”
The Casavo business model has proven a hit in Southern Europe because there are many properties available that have massive potential but are sitting either derelict or haven’t changed hands for decades and need some refurbishment.
Alongside moving into the French market, Casavo plans to add 200 people to its team of 400 in the next year. In addition, the firm wants to continue product development, so it can become an all-in-one property provider with the capability to offer additional services. Already, Casavo is a mortgage broker in Italy, and they want to expand on this offering across other markets and add features.
Digital-first mortgage services are on the rise the world over. For example, earlier this month, real estate digital platform Opendoor launched a financing app that the company claims lets consumers get pre-approved for a mortgage in under two minutes.
Read more: Real Estate Platform Opendoor Launches Mortgage Finance App
For all PYMNTS EMEA coverage, subscribe to the daily EMEA Newsletter.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More