Flyp founders
Flyp, UK tech start-up that has built a platform for property sales, has raised £5 million in a seed round.
The proptech start-up, founded last year, said it has developed a platform to help property owners and agents to sell properties more efficiently.
The round was led by Outward VC, a fintech-focused firm that has backed Curve, along with a group of angel investors and family offices.
London-based Flyp was founded by Lee Sieradzki, Oliver Gershfield, and Gregg Kantor.
According to the start-up, the process of selling a house in the UK is an unnecessarily drawn out one. Citing figures from Zoopla, it said it can take owners anywhere between 17 to 34 weeks to sell a property whereas in the US it is four weeks. Meanwhile data from the Department for Business, Energy and Industrial Strategy shows that around 33% of transactions fall through.
Property deals can fall through for a variety of reasons but the end result often means owners selling their property at under value.
Flyp has developed a platform to help ordinary sellers avoid this fate. It uses artificial intelligence and data analytics to vet a property for sale. It manages the assessment of that property and covers the costs of recommended renovations for improving its value.
Properties that have been certified by Flyp are added to its Marketplace product which connects sellers with multiple agents with all transactions managed through the platform. The founders said that more than 175 were sold through its platform so far.
"There are a number of startups trying to fix the many inefficiencies and misalignments in the property market, but they undermine the important role that agents play in bringing buyers and sellers together," Gershfield said.
Flyp generates revenue through a profit share on the sale of the property.
With its new seed funds in tow, Flyp plans to further develop its footing in the London property market with a view to eventually expanding into the rest of the UK and Europe. The start-up has a team of 30 currently.
"The current status quo is broken, and there is a new generation of sellers, agents, and buyers who demand more transparency, efficiency, and yes, more money. We’re combining our technology, data capabilities, and unrivalled industry expertise to build a new system from the ground-up," Sieradzki said.
"Everyone who has bought or sold a home, and that includes ourselves, will know how frustrating the process is. Often sellers don’t get the most value out of a life-changing transaction, because they don’t have the time, money, or expertise. As a result, money gets left on the table."
