Austin-based LiveOak Venture Partners led the $4 million equity funding round. A further $21 million in debt funding was secured from Genesis Capital and Austin-based Keystone Bank, according to Crunchbase.
Like its numerous competitors in the business of high-tech home flipping, Homeward offers a service that helps speed up the journey from selling one home to buying another. Where most IBuyers focus on making instant cash offers on customers’ existing homes, Homeward makes cash offers on the destination home.
“Relax,” says Homeward’s website. “Now you can buy before you sell.”
While Homeward secures the new home, the client can hire a real estate agent to market the old home without the pressure to sell it quickly at a discount. That’s what distinguishes it from a similar proposition offered by Knock, which takes over of the listing — and seller’s commission — of the old home.
Once Homeward buys the new home, it leases it back to the client until they sell their old house and can buy back the mortgage on the new one. For added security, Homeward guarantees a price for its client’s old home, so if they can’t sell for more, they’ll at least get the backstop offer.
The company was founded in Austin, Texas by former real estate broker Tim Heyl last year. It currently operates in Georgia, Texas, and Colorado.