Reali, a flat-fee real estate startup that boasts it can sell a house in the San Francisco area for as little as $950, is planning to expand into Southern California and beyond, thanks to a $20 million injection of funding.
Reali announced this week that it raised $20 million in a Series B round of funding. That brings the company’s total capital raise to $30 million. Last year, the company raised approximately $10 million.
Currently, Reali operates in Sacramento and Solano counties, and the San Francisco Bay Area.
According to the company, it plans to use the newly raised money to expand into Southern California as a prelude to expanding throughout the Golden State. Then, the company plans to grow beyond California into other states later this year and in 2019.
The company also said that it plans expand its product development efforts in artificial intelligence, double its headcount, and build out its customer-centric model.
The company said that its AI team will focus on offerings combining human and artificial intelligence with smart workflow optimization. According to the company, its new data-driven tools will help buyers and sellers make decisions about the real estate process, including deciding on offer prices, using augmented reality to tour a home, and finding the ideal listing price of a home.
“From the beginning, our mission was to build a digital-first real estate company with a completely different experience that delights home buyers and sellers and saves them thousands in commission fees," Reali CEO and Co-founder Amit Haller, said. “This new funding will allow us to accelerate our product roadmap beyond the app and expand our market base to new cities throughout the U.S.”
According to the company, it has seen significant growth in the last year. In the past six months, Reali said that it has tripled its number of home listings and doubled sales volume and app downloads.
The funding round was led by Zeev Ventures, which previously invested in the company, along with Signia Venture Partners and other investors.
“As a tech innovator, Reali is ideally positioned to build the leading AI-powered transaction platform for home buyers and sellers,” said Oren Zeev, founding partner of Zeev Ventures. “The Reali team is addressing some of the industry’s biggest challenges–including lack of tech services and transparency, and inflated commissions. This funding is designed to bring the company's tech-driven model to more people.”