FinTech start-up Unmortgage has successfully raised £10 million as it aims to significantly expand its operations and workforce.
Unmortgage, a London-based residential rent-to-own specialist, is set to revolutionise home ownership with a distinctive part-own part-rent model. This innovative approach requires as little as a five per cent deposit from customers, who then pay market rent on the portion of the home owned by Unmortgage. Additionally, customers have the opportunity to increase their equity in the property as their financial circumstances improve.
The funding round includes £2.5 million from Augmentum Fintech, a prominent venture capital investor in Europe, alongside contributions from existing investor Exponential Ventures and others. Tim Levene, CEO of Augmentum Fintech, noted, “One of the things we look for in a potential investment is a business that is genuinely pathfinding in a sector which is ripe for innovation. In too many cases home-ownership remains out of reach for people, and the Unmortgage model addresses in an innovative way how people can access the homes they both need and want. The business is also attracting FinTech talent who want to participate in a business that has at its heart a social purpose.”
The newly acquired funds are earmarked for scaling the business, with plans to increase the team from 12 to 40 members by the end of 2018. This expansion is intended to bolster Unmortgage’s capabilities ahead of its official launch in 2019.
The £10 million investment marks a pivotal step for Unmortgage as it seeks to launch its innovative homeownership model and expand its team to meet future demands.
