Fintor, to build a fractional real estate investing platform, formally announced the completion of a $2.5 million seed round.
What Happened: Founded by Farshad Yousefi and Masoud Jalali, Fintor fractionalizes residential real estate properties, allowing U.S.-based investors investment opportunities with as little as $5.
In a move to scale, as well as expand the depth and breadth of its product portfolio, Fintor raised a $2.5 million seed round.
500 Startups, Hustle Fund, Graphene Ventures, Manny Khoshbin, and Mana Ventures participated. Other noteworthy investors include Cindy Bi, Skyler Fernandes, VU Venture Partners, Minal Hasan, Andrew Zalasin, Alluxo CEO and Founder Safa Mahzari, SquareFoot CEO and Founder Jonathan Wasserstrum and Teachable CEO and Founder Ankur Nagpal.
"At Fintor we hope to foster the next generation of real estate investors so that you no longer need hundreds of thousands of dollars and industry connections to benefit from owning real estate," said Co-Founder and CEO Farshad Yousefi. "We’re building Fintor to open the real estate investing asset class to millions of Millennials and Gen Z’ers who otherwise wouldn’t have a chance, and we’re making it easy to get started in real estate investing with $5 and a smartphone."
Why It Matters: Homeownership among American adults is at historical lows. Barriers to entry include high upfront costs and liquidity.
With Fintor, properties can be offered in shares, at some price, for investors to trade. Fintor looks to improve liquidity and reduce volatility through defined trading windows.
“We have a vision that will change how people invest in real estate forever,” said Farshad.
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