Singapore-based proptech startup Propseller today announced a S$1.7 million (US$1.2 million) seed funding round from a list of investors that include Iterative, Hustle Fund, XA Network, Rapzo Capital, Stein Jakob (Lazada co-founder and former CMO/CFO), Ben Neve (Dot Property Founder), three undisclosed “highly strategic investors”, and existing private investors.
The startup plans to use the funding to support talent acquisitions and product development. In a press statement, it said that it aims to triple its team size within the next six months.
Propseller combines the use of an online platform with in-house, salaried property agents to help ease property sales and rent for its customers. Despite being founded in 2018, only in 2019 that the company began implementing the model.
The services that they offer range from indicative valuation and sale with a standard commission of one per cent instead of the usual two per cent.
“A real estate transaction is someone’s most important financial moment, yet most of it is still happening offline, handled by traditional freelance agents who close on average only one sale and six rentals transactions per year,” said Adrien Jorge, Founder and CEO of Propseller.
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“At Propseller, we believe that consumers deserve an incomparable experience and full transparency for a fair price. It happens that technology is capable of helping to achieve this: we sell homes two times faster than average and our service is rated 4.8/5 on average by our clients. Since our agents close 60 transactions per year each, nine times more transactions than the agents of traditional agencies, we are able to pass part of the savings to our clients hence we charge only one per cent to sellers – half the standard fee – while providing premium service,” he continued.
Propseller said it is currently transacting S$75 million (US$55 million) worth of properties per year.
In June, as per a TechInAsia report, the company was revealed to be one of the eight startups at the first cohort of Iterative programme.
In our special feature in July, Gobi Partners Managing Partner Kay Mok Ku told e27 that the real estate industry in Southeast Asia will “return to its previous glory.”
“If we look at the past long-term property trends in Asia, it has always come back after demand shocks. This might be a testament to the fact that Asia is still urbanising and the long-term demand for property and the related proptech sector is still trending upwards,” he explained.
Image Credit: Propseller
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