Landis, a US startup that uses technology and data science to help renters reach homeownership, has closed $165 million in debt and Series A equity financing.
Led by Sequoia Capital, the Series A round also included participation from Arrive, a Roc Nation company, Will Smith’s Dreamers VC as well as existing investor Signia Venture Partners.
Several fintech founders also invested in the company, including those of Plaid, Cash App, and Ethos. The founders of Instacart, Front, Flatiron Health and Tango also joined the funding round.
The latest funding brings Landis’ total debt and equity raised to $182 million since the company’s launch.
Landis’ typical client is a prospective homeowner who is unable to get a mortgage due to credit, down payment savings or debt. Although they may not be mortgage-ready yet, Landis’ underwriting technology can determine whether the client might qualify for a mortgage in the next 12-24 months. If so, Landis will make a bet on the client’s success by giving them a budget to pick a property, which Landis then purchases.
At that point, the client moves into the home as a renter and is assigned a Landis Coach to work on their mortgage-readiness. As soon as the client is ready for a mortgage, they buy the house from Landis.
Alongise the new funding, the company has relased a Homeownership Coach mobile app to everyone with an iPhone. The free app provides users with a dashboard view of credit, down payment savings and debt, alongside the specific goals they need to reach to get a mortgage. The app also suggests actions that users can take to up their savings.
Co-founder Cyril Berdugo, says: “What makes Landis unique is our ability to coach anyone to homeownership. This new funding will allow us to help more Americans on their path to homeownership by expanding to new states, hiring talent nationwide and providing a better experience to our clients and partner agents and lenders.”