Nested has secured an injection of equity capital and also raised debt funding to take the agency to what its founder describes as ‘the next level’.
Northzone, backers of Spotify, Trustpilot and Zopa – and Balderton, which backed the GoCardless team as well as companies like Revolut and CityMapper – have provided £20m in equity capital. The remainder has been raised in debt finance from an institutional investor. The latest funding follows £45m raised in 2016 and 2017.
Nested, founded in 2015, calls itself the ‘first ever data driven estate agency’. The agency uses data to optimise the vendor’s sale timeline and achieve the best price. After 30 days it offers the seller an advance of up to 94% of the asking price so they can pay cash for their new home.
Matt Robinson, CEO of Nested, said: “We’re excited to receive the backing from some of Europe’s top VCs who share our vision for fixing the age-old problem of buying and selling homes. We are building an incredible team to offer an unassailable service with the most progressive technology in the property industry. This investment will allow us to continue solving the problems that prevent people from moving home with ease.”
Nested’s principal area of operation is London, although Robinson says some of the funding will be used to expand outside the capital. In a sluggish London market the appeal of such a service is obvious. However, its long term viability will surely depend on the fortunes of the market – the concept might not be quite so appealing in a buoyant market.