Bonus Homes, a real estate technology and investment firm, announced on Tuesday plans to open its headquarters in the Greater Phoenix area after raising $65.5 million in seed funding.
A press release from the company said that the seed funding is from Solyco Capital, Redwood Trust, Nextview Ventures, Operate Ventures and Alpaca VC. With the funding, Bonus Homes said it will “scale its financial services product that empowers homeowners to start building a wealth portfolio while simultaneously accessing their home’s full available equity.”
“As Bonus Homes launches its operations in Greater Phoenix, the company’s entrepreneurial spirit and drive to help the community matches the makeup of the region’s tech ecosystem,” said Mark Paratore, vice president of business development for the Greater Phoenix Economic Council (GPEC).
“Greater Phoenix’s growing startup ecosystem continues to attract high-growth, venture-backed companies, and we’re excited to welcome this innovative technology platform and wealth-building tool into the Valley.”
In tandem, Bonus Homes announced the rollout of its Home Appreciation Partnership (HAP), a financial model aimed at homeowners with sub-4% mortgages who want to move. The program allows participants to cash out their home equity as if they sold while also sharing in future appreciation.
Bonus Homes will manage the property as a rental until the homeowner eventually sells.
“Your home is your most valuable asset and the best way to build wealth over the long term,” said Kyle Kamrooz, founder and CEO of Bonus Homes. “But today, most homeowners have to sell their home every time they need to move. They are forced to give up their most valuable asset, which means they completely miss out on the inevitable wealth their home can create for them if they just had a way to hold onto it.”
Bonus Homes has already built a $20 million portfolio since emerging from pilot late last year. It plans to scale to 10,000 homes under management over the next decade. The company is targeting properties in the $300,000 to $500,000 range, with Arizona, Tennessee and other select markets in focus.
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