Fello, a company that aims to be the first agent-led iBuyer, today announced securing $25 million combination of debt and equity led by Javelin Venture Partners, according to a press release.
The Cleveland-based company claims that through its platform, “it gives agents the ability to provide homeowners with an iBuying option while staying at the center of the relationship.” It says that this means local agents stay in control of sales, continue to maintain listings and receive their full commission.
The solution is interesting, considering the real estate industry’s dichotomy between agent-centric solution and automation, which has resulted in mixed success and failure so far. By bridging this gap, Fello says that homeowners can bring trusted agents into the process and still receive a no-obligation, competitive cash offer in less than 24 hours.
“We believe people should be at the heart of real estate. The future is a fully empowered agent with personalized options and local expertise,” stated Ryan Young, Fello co-founder and CEO.
It says this process eliminates the need for showing and repairs, and enables homeowners to sell more confidently. At the same time, the company says that if tradition listings are preferred, sellers can continue to work with their agent or use Fello to find an agent suited to their goals.
“Selling a home is not solely transactional. People want a trusted, local expert to guide them through the experience. Yet, many sellers still want the convenience and optionality of selling their home instantly. Fello has created a model and very sophisticated technology that is the ideal solution for home sellers and agents alike,” stated Jed Katz, Managing Director at Javelin Venture Partners.
In addition to Javelin Venture Partners, Fello the funding also included participation from Ben Rubenstein, founder of OpCity and former Chief Revenue Officer of Realtor.com.
“Having visibility into leading proptech trends, Fello has created a brand new category with agent-led iBuying. Similar to power buying, we see agent-led iBuying becoming a vital tool for agents to succeed in the coming years,” Rubenstein said.
In other recent proptech news, CoreLogic announced the appointment of Patrick Dodd as president and CEO. Allume and Renu also announced the first shared multifamily solar energy system in the U.S.