PropHero, an Australian proptech venture providing “next gen” buyer’s agent services, announced raising a $1.6 million seed round led by GFC Global Founders Capital, according to Startup Daily.
The company says it will use the funding to improve its data models and digital customer experience, make key hires and expand its footprint across Australia and overseas.
AfterWork Ventures, Jelix Ventures and The Fund also participated in the fund, the first funding for the company.
Launched last year by co-founders Pablo Gil Brusola and Mickael Roger, PropHero aims to close gaps in the market by combining data and AI with human expertise to make simpler, transparent and more time efficient buyer’s agent services.
“Our platform makes property investing accessible to a younger generation who have savings and want a simple digital experience,” Gil Brusola said.
“We also have older clients who like our data-driven approach so they can diversify their property portfolios. We’re cutting down the time it takes to invest in property by 90% because we have a digital platform and a network of trusted professionals,” he added.
PropHero uses proprietary models to pull 40 million data points to screen 240 variables across 18,000 suburbs, enabling buyers to find high return, low risk investment properties in the listed and unlisted markets.
They charge a fixed fee of A$990 on engagement and A$9,9000 on settlement for these services.
Brusola added that since launching less than a year ago, the company has helped clients buy properties in NSW and Queensland and is looking to expand overseas. GFC Global APAC Partner Melvin Hade also added that they see tremendous opportunity in Australia and global markets that they plan to expand to later this year.
“When you are investing in property, it’s vitally important to make an informed decision with the benefit of data. For a long time, people have been relying on ‘gut feeling’ anchored by a belief that property prices always go up,” co-founder Roger said.
“Often they invest literally around the corner from their own home because it’s too difficult to do anything else but that’s probably not going to maximise your return on investment. Our investors are currently outperforming the market for both rental yield and capital gain,” he added.