Divvy real estate series#

Her parents, who'd moved from Israel to the U.S., initially had trouble acquiring a mortgage, but years later used equity they'd built up in their Long Island home to help send Hefets and her three siblings to college. What's the deal?īut Divvy co-founder and Chief Executive Adena Hefets said her own family's situation helped inspire her business plan. Through the years, the rent-to-own industry has been littered by sordid stories of renters who fell prey to what turned out to be a scam.Ĭonsumer advocates, including the Federal Trade Commission, say that even when dealing with legitimate companies, 'the devil is in the details.' The FTC says taking time to save money or to repair credit before purchasing a house is always an option. You bring the local expertise, we qualify and deliver the. Its cheaper to rent a place from a property management company until youre approved by a traditional lender. The approved purchase amounts are much lower than mortgage companies. Divvy is just another landlord and rent prices are nearly double the market rate. Why Divvy At Divvy Homes, were building an on-ramp to homeownership - one thats more flexible, more affordable, and an all-around better fit for todays American family - and its working. The real estate market may be the wrong place for Divvy. The round was led by hedge fund titan Tiger Global Management. Senior Real Estate Agent (Houston) Divvy Homes.

Divvy real estate series#

The work was paid from a portion of the Brocks' monthly payments not reserved for a down payment. Divvy Homes, a rent-to-own startup, raised a 110 million Series C equity round. That will come off the top of Brock's $127,500 purchase price, a figure arranged at the beginning of the deal.ĭuring the two years Brock and his wife have lived there, Divvy has paid for a new boiler and a plumbing job.

When he finances the house in February, he said he'll have a down payment of more than $12,000.

His monthly payment to Divvy for three years averages about $1,285, but he plans to buy the house eight months early because he put an extra $6,800 into the down payment pot.

Brock said Divvy offered less and wound up purchasing it for $118,500. Divvy buys the home using cash, covering all fees, closing costs, taxes and insurance. Divvy agreed to buy the three-bedroom bungalow, which had a listed asking price of $134,000. Divvy customers can use their own real estate agent or find one through Divvy.