Opcity, a real estate technology startup improving residential real estate’s consumer experience by matching top agents with qualified home buyers and sellers in real-time, announced its series A financing of $27 million today. The round was led by Silicon Valley-based Icon Ventures, with participation from 8VC, AI-focused Georgian Partners and Texas-based LiveOak Venture Partners. Tom Mawhinney, of Icon Ventures, will join Opcity’s Board. The company plans to use the funding to rapidly scale its workforce and establish an award-winning culture to expand its footprint to real estate brokers nationwide.
Austin-based Opcity was founded by Ben Rubenstein (CEO) and Michael Lam (Head of operation). It’s the second startup for Rubenstein, whose success and experience in founding and growing Yodle (acquired by Web.com in 2016 for $342 million) has helped drive early execution and rapid growth for the company. Rubenstein’s track record and Opcity’s ability to scale spurred interest from top-tier investors and allowed them to close the largest Series A in recent Austin history.
Opcity’s technology platform identifies transaction-ready buyers and sellers in the growing haystack of online real state inquiries and delivers them to top agents through brokers in real-time with no upfront cost. Using proprietary data and applied analytics, Opcity’s unique technology and matching algorithm converts online inquiries into transactions, increasing the conversion rate by three to five times the industry average.
“The home buying and selling experience for brokers, agents and consumers has historically been complex and at times extremely frustrating,” says Ben Rubenstein, CEO and founder of Opcity. “Our goal at Opcity is to simplify this process and to generate a more efficient ecosystem by matching home buyers and sellers with the right agents in real-time and then optimizing their experience every step of the way. We also take on all upfront costs, which ensures we’re completely aligned with the brokers, their agents, and the consumers, as we do not get paid until a transaction successfully closes.”
According to Rubenstein, the company is scaling a very successive model that worked well for Austin based residential brokerage, Homecity real estate.”Homecity was founded 17 years ago as a technology brokerage and had built a model that converted online inquiries into sales significantly higher than their peers. They did this by building a consumer/agent matching model that had been iterated and improved through time.”
Opcity initially launched in a handful of markets in 2016 and has since scaled quickly due to the brokerage industry demand for its service. Today, Opcity works with over 350 brokerages and more than 4,000 agents on the platform, spanning the franchised brands including Better Homes & Gardens, Keller Williams, ReMax, Century 21, Berkshire Hathaway Home Services and the leading independent brokerage companies.
“Opcity is one of the most compelling marketplace businesses we have seen, with the opportunity to transform the real estate industry while creating a win/win with all their constituents,” said Tom Mawhinney, general partner at Icon Ventures. “Opcity has the total package of an incredible team, product and business model.”