Landy Liu knows how difficult it is to save for a house.
While working at Mortgage Startup Better.com, he spent years spent with the buyers of first home houses who felt overwhelmed when it was to shop for the houses. When it was his turn in 2022, the mortgage rates had almost doubled and found himself in one of the purchase environments of more demanding houses for decades.
“I put my purchase waiting and used my deposit to start Foyer, where I am a user together with our members,” he told Techcrunch.
Foyer is a platform that helps consumers to save for falling payments, essentially acting as “401 (K) for the ownership of the house,” said Liu. He observed that there are accounts and savings apps specialized in these days for almost every large milestone, “pension, university fees, even large health costs,” he said. However, while there are general options on the market to save for payments, there is nothing similar to a platform focused on falling payments for houses.
“We believe that the ownership of the house is a vital part of the American dream and the buyers of houses for the first time need all the help they can get,” he added.
On Foyer, users can create target savings goals and access personalized guide on the best ways to save for a home, mortgage rates and choice of a real estate company. The company has a subscription model, which offers subscriptions to users looking for more support. It can connect users with real estate professionals and also allows customers to earn prizes that can be used for a purchase of home.
“Real estate service providers spend billions of marketing every year to end users and are now able to support the financial well -being of aspiring buyers of houses more directly,” said Liu.
The purchase of a house has become quite demanding in recent years, with many aspiring buyers of houses that are completely out of the market, far from hitting the milestones that generations have previously struck to young centuries. “The rescue for your home requires better planning than ever,” he said.
Investors clearly see a little brilliance in the idea. Today Foyer announces a $ 6.2 million seed round led by Alpaca VC and Hometeam Ventures. Accion Venture Lab and Clocktower Ventures also participated in the round.
“The ownership of the house plays a crucial role in the construction of long -term financial safety, in particular for the underground communities that have been historically excluded from opportunities for the construction of wealth,” Amae Parbhoo, a member of Accion Venture, told Techcruncha Amee Parbhoo .
David Goldberg, a general partner of Alpaca VC, said that what the company has attracted to Foyer was his “approach reinvented to the ownership of the house”.
“The combination of savings, education and high -performance strategic partnership makes this bet compelling on the future of the purchase of houses,” he told Techcrunch.
Liu said he met the main investors through mutual connections in the Fintech and Proptech space. For now, Liu has said that Foyer’s main competition is the traditional savings accounts. Foyer was launched last year in Michigan, but since then he has spread throughout the country, attracting more than 10,000 users, he said.
Fresh capital will help the company to expand and improve the functionality of the product.
“Domestic convenience is in crisis and yet the ownership of the house remains the largest source of wealth creation for the families of the middle class and minorities in the United States,” said Liu. “Foyer is providing a solution for the buyers of houses for the first time, a dedicated savings account that works for the next generation of houses owners.”
