LONDON, UNITED KINGDOM – TUESDAY 25 OCTOBER 2022: flip (www.flyp.co), a London-based proptech company that enables UK property owners to sell their properties faster and for a higher price, has raised a £5m seed round led by fintech-focused venture capital firm Outward VC (www.outwardvc.com), as well as with the participation of angel investors and family offices.
The UK has long suffered from a dysfunctional property market that pits sellers, buyers and agents against each other in a zero-sum game. Sales often fail for reasons that could have been avoided and sellers have to go through a difficult, complicated and time-consuming process to very often lose the real value of their property. In accordance with Zoopla, it takes homeowners 17-34 weeks to sell (compared to 4 weeks in the United States) and 33% of all home-buying deals fail, according to the Department for Business, Energy and Industrial Strategy. flyp estimates that, on average, London home owners leave more than £50,000 when they sell their homes.
With only the zenith of the market having the tools and capabilities to avoid this, flyp aims to provide them to every seller at home. Founded in London in 2021 by Lee Seradzki, Oliver Gershfield and Greg Kantor, flyp aims to create a better way to sell homes by creating a technology ecosystem that is fairer and more efficient for sellers, agents and buyers.
The company manages the entire process, from the initial appraisal, the up-front repair cost, which flyp pays for and manages itself using its own automated repair software, and the multi-agent sales platform, where the sale is managed and shared with all the best matching agents at no extra cost to the homeowner. .
For agents, flyp is a source of high quality certified properties with motivated sellers, meaning the number of properties available to their buyer pools increases exponentially.
To date, flyp has sold over 175 homes, coordinated over 3,300 viewings across hundreds of agencies.
flyp will use this latest investment to expand its products and technology solutions to address more long-standing challenges in the real estate market. To date, it has focused on London, but soon homeowners outside the capital will be able to sell through the platform. In addition, the company will expand the team of 30 people.
How flyp works
flyp Approval – Assessment of real property value
flyp uses artificial intelligence and data to analyze a property’s marketability, including any pitfalls that may affect the sales process and whether renovations can be made to help it achieve its maximum potential value.
If the property is approved straight away, it receives Flyp Approval, which serves as a quality assurance for agents and buyers and removes any obstacles to a quick and efficient sale.
Transformation – revealing the real potential of the property
If flyp identifies any potential issues that need to be addressed in order for the property to be flyp approved, or if there is value to be unlocked, they will fund and execute the renovation project, fully covering the costs and managing the process from start to finish.
Renovation decisions and remote project management are based on artificial intelligence and data, and flyp’s investments are aimed at reaching the intended buyers directly and ensuring ROI. By investing its own capital, Flyp’s interests are fully aligned with those of homeowners.
Marketplace – Improve sales by connecting sellers with all relevant agents
Once a property is certified and ready to sell, it is added to the Flyp Marketplace, where home sellers are matched with all relevant and high-performing agents, creating the most efficient marketplace for real estate in a highly fragmented market. flyp again handles the entire transaction flow through its technology.
Nowadays, almost all sellers instruct only one agent because it is cheaper, but this leads to longer sales times and lower prices. Conversely, properties on Flyp Marketplace attract many high-performing agents, resulting in increased attention, ensuring all active buyers are attracted and offers are made faster and higher.
“The current status quo has been disrupted, and a new generation of sellers, agents and buyers has emerged who demand more transparency, efficiency and, yes, more money. We are combining our technology, data capabilities and unrivaled industry expertise to create a new system from the ground up,” comments flyp co-founder Lee Seradzki.
“Anyone who has bought or sold a home, including ourselves, will know how frustrating it can be. Often, sellers don’t get the most out of a life-changing deal because they don’t have the time, money, or expertise. As a result, money remains on the table.”
Oliver Gershfield, co-founder of flyp, adds: “There are a number of startups that are trying to fix the many flaws and inconsistencies in the real estate market, but they are undermining the important role that agents play in connecting buyers and sellers. Our platform is designed to create a more efficient ecosystem that delivers value for everyone, from empowering buyer agents’ networks to making it easier for homeowners to sell. This funding from Outward VC will allow us to further scale and offer our technology in London to sellers and agents, as well as across the UK.”
Devin Colley, co-head of Outward VC, adds: “flyp helps to solve a major problem in the UK – the archaic, long and time-consuming process of selling property, and the difficulty of getting its true value. . We support ambitious entrepreneurs solving big problems, and flyp, with its data-driven analytics, technology-driven trading platform and unrivaled industry expertise, is the perfect fit. We look forward to supporting them on their journey as they make the real estate ecosystem fairer and more efficient for both sellers and buyers.”
About the flip
flyp is a London-based proptech company that enables UK property owners to sell their properties faster and for more. Founded in London in 2021 by Lee Seradzki, Oliver Hershfield and Greg Kantor, the company employs a team of 30 people.
About Outward
Founded in 2018 by co-chairs Kevin Chong and Devin Kohli, Outward VC is a London-headquartered venture capital firm that invests in early-stage fintech startups in the UK and EU, including category leaders and defining companies PrimaryBid, Vauban, Curve and Peppy. A team of seven people works at the company.
Flyp Homes (t/a flyp) secures £5 million Seed investment led by Outward VC
