Divvy Homes, a real estate startup aiming to revolutionize rent-to-own and fractional ownership, just raised $30 million to help the company continue growing.
Divvy officially launched earlier this year with $7 million in funding. But now, the company has $30 million more at its disposal.
The company announced Tuesday morning that it completed a $30 million Series A equity and debt round, which was led by Andreessen Horowitz (a16z) with participation from Caffeinated Capital, Scifi Ventures, and DFJ.
Caffeinated Capital and DFJ previously invested in the company.
Divvy’s business model is different than traditional rent-to-own operators, some of which have been accused of predatory practices by purchasing run-down properties and convincing tenants to rent the properties by offering them the chance to buy the house in the future despite not making any repairs or improvements.
Divvy, on the other hand, offers people the chance to live in the house they want even if they can’t afford to buy it themselves.
With Divvy, the buyer picks out any home for sale and Divvy will buy it. The buyer typically puts 2% down on the home, then pays a monthly amount to Divvy that includes both rental and…