The real estate technology industry has seen 2,714 investors and $73B total all time funding. Let’s analyze which real estate technology categories have the most number of investors actively financing the startups. The graphic below highlights real estate technology categories based on the number of investors in each category.
As the graphic demonstrates, IoT Home has the highest number of investors at 697, with Home Services following behind at 580. IoT Home companies produce connected devices focused on the residential real estate segment. Home Service companies build technologies that support tenants in the management of their homes. In addition, the average number of investors across all real estate technology categories is 372.
For this quarter’s funding analysis, let’s examine how average funding in the real estate technology sector is evolving. The graphic below shows the real estate technology average funding across all deals over time by quarter.
As the graphic demonstrates, real estate technology average funding deal size in Q1 2019 was at $66M, which increased by 101% from the $33M in the same quarter last year. The average funding deal size has experienced accelerated growth, with the average funding last quarter around 9 times larger than it was 5 years ago. The top three funding events in Q1 2019 include a $1B round into the We Company, an $800M round into Ke.com, and a $413M round into Delhivery.
As we progress through Q1 of 2019, let’s look back on 2018 and analyze how funding in the real estate technology (proptech) sector compares to previous years. The graphic below shows the total annual real estate technology funding amounts over time.
As the graphic demonstrates, 2018 was a record year for real estate technology funding at almost $20B. That represents a 38% increase from the previous year’s funding. In addition, real estate technology funding grew at a CAGR of 62% over the past 5 years. Some of the largest funding events in 2018 include a $3B round for WeWork, a $1.5B round for Lianjia, and a $1.1B round for View.
The real estate technology (proptech) industry has seen $69B in total all time funding. Let’s examine the investors financing the real estate technology sector and identify the most active firms.
The graphic below highlights real estate technology investors based on the number of investments made in the sector. If an investor participates in two investment rounds in the same company (such as a Series A and Series B), that would qualify as two investments for this analysis.
As the graphic demonstrates, 500 Startups has made the most investments in the real estate technology sector with 77 investments. Y Combinator follows with 56 investments. Examples of companies that 500 Startups has invested in include Knotel, Kin Insurance, and TaskRabbit.