Homeward Raises $120M Series D to Expand Buy Before You Sell Home Financing

Homeward, the Austin, Texas real estate financing company, has raised $120 million in a Series D round led by Saluda Grade, along with a $330 million asset-backed debt facility. The combined $450 million in new capital was first reported by Crunchbase News.

The round includes Continental General Insurance Co., Citi Ventures, Magnetar Capital, Norwest, LiveOak Ventures, Adams Street Partners, Javelin Venture Partners, Harmony Partners, Era Ventures and First American.

What Homeward Does

Homeward addresses a problem familiar to anyone who has tried to move while owning a home: most people need the money from their current house to buy the next one, but selling first means finding somewhere to live in between.

The company offers two main programs. Buy Before You Sell provides short-term financing, paired with a backup offer on the existing home, so a homeowner can purchase a new property before the old one sells. Sell Before You List gives homeowners a cash purchase with a guaranteed closing, removing the uncertainty of waiting for a buyer.

Homeward works through real estate agents instead of going around them. It has partnered with more than 25,000 agents and facilitated over $4 billion in transactions.

Valuation and Funding History

Homeward declined to disclose its new valuation, but told Crunchbase News it is similar to the level set at its Series C in 2021, which was just north of $800 million. That round totaled $136 million.

Holding a 2021 valuation is notable in property technology, a sector where many companies that raised at the market peak have since been marked down, sold or shut. The company has raised $360 million in equity since it was founded in 2018.

How Homeward Will Use the Capital

The equity will support the expansion of Homeward's financing products and further investment in its technology platform. The $330 million debt facility serves a different purpose: it funds the home transactions themselves, giving the company more capacity to back purchases and cash offers.

That split is typical for businesses that put money into real estate. Equity pays for the company. Debt, secured against the homes involved, pays for the deals.

The Pivot Behind the Growth

Founder and CEO Tim Heyl credited the Sell Before You List product with reshaping the company's trajectory. "Our ability to really exponentially grow over the last four years or so was a huge thanks to the pivot," he told Crunchbase News.

Why the Homeward Funding Matters

The raise comes as the housing market remains sluggish. Many owners hold mortgages at rates well below what is available today and are reluctant to give them up, which has kept inventory tight and slowed sales.

In that environment, products that reduce the risk of moving carry real weight. A homeowner who can buy without a sale contingency makes a stronger offer, and one who has a guaranteed cash sale can plan a move with confidence. Both give agents more to work with when listings are scarce and buyers are cautious.

With $450 million in fresh equity and debt and a roster of institutional backers, Homeward has the capital to scale those products while much of its proptech peer group is still retrenching.

Source

Crunchbase News — "Exclusive: Homeward Raises $120M To Help Homeowners Buy And Sell More Quickly As Housing Market Stalls"