PropHero, a Sydney-based technology company that harnesses artificial intelligence (AI) and big data to identify property investment opportunities, has raised $25 million in a Series A round led by Bailador Technology Investments (ASX: BTI).
The raise represents roughly 70 per cent of PropHero’s run rate revenue of $35 million, as it grows at more than 200 per cent annually with operations in Australia, Spain, Indonesia and Ireland.
Bailador’s $12.5 million investment contributed to half the raise total, with the remainder coming from Fifth Wall, Samaipata, Opera Tech Ventures, AfterWork Ventures, and Jelix Ventures, all of which took part in PropHero’s $8 million seed round except Opera Tech.
Launched in 2021, PropHero is led by its co-founders and co-CEOs Mickael Roger and Pablo Gil Brusola, who have ambitions to build PropHero into the global one-stop shop platform for real estate investment.
Bailador claims the company has served more than 2,000 paid customers to date with its platform that helps individuals source, purchase and manage investment properties, aided by predictive AI models that aggregate data from over 100 sources.
PropHero also offers a free service that allows unpaid customers to track the value of properties that were not purchased on the platform, which has around 8,000 users across 40-plus countries.
PropHero’s offering operates on a fixed fee model to give users tailored investment property recommendations based on their budgets and financial goals. Customers also gain access to a vetted marketplace of partners across conveyancing, mortgage broking, renovations, property management, and insurance to help manage their investment property.
“This raise will help us deliver our vision of offering everyone a real estate wealth advisor in their pocket, powered by Generative AI,” says co-founder and co-CEO Mickael Roger. “Our mission is to transform real estate for the greater good: delivering high returns for investors, great living conditions for tenants, and energy savings through renovations.”
The funding will primarily be used to develop and enhance PropHero’s generative AI real estate wealth advisory platform, which is already replacing traditional buyer’s agents and wealth advisors. Additional investment will support market expansion, scaling operations, and team growth.
“Our ambition is to double revenue this year to US$50M, while remaining profitable,” adds co-founder and co-CEO Pablo Gil Brusola. “PropHero’s success stems from our commitment to transparency and trust in property investment, with all data available to clients through our app.”
PropHero’s Australia CEO Suvidh Arora says the round was oversubscribed by more than two-fold.
“We are incredibly proud of the strong interest from high-profile global investors who believe in our vision,” says Arora. “Our mission is to make property investment more accessible, with a particular focus on Millennials who are navigating a challenging housing market and seeking smarter, data-driven solutions to build their wealth.”
Bailador co-founder and managing partner David Kirk will join the PropHero board as part of the investment.
“Property is a huge global asset class that has been underserved by digital transaction solutions,” Kirk says. “PropHero provides a world-leading solution for investors, demonstrated by very high growth, word of mouth customer acquisition, and a high proportion of customers returning to purchase multiple properties. Bailador is backing Mickael, Pablo, and the wider PropHero team to continue executing on their growth in Australia and internationally.”
Other investments from Bailador include Rosterfy, DASH, Hapana, Updoc, Siteminder and more.
Join our community of 200,000+ real estate leaders and get weekly insights and updates with our newsletter.
*Offer ends on Friday, 7th February.
