HouseSimple is reported to have secured £20m in growth capital which it says will help it “challenge Purplebricks as the UK’s leading online estate agency.”
Property Week reports that the additional funding is led by existing investors Toscafund Asset Management and Freston Ventures, the private investment vehicle of Carphone Warehouse founder Sir Charles Dunstone.
A number of high net worth individuals are also reported to have contributed to the fund-raising.
The news comes within days of the understanding that Rightmove’s lettings chief, Sam Mitchell, is to take over as chief executive of HouseSimple in the new year.
Property Week says HouseSimple has invested heavily in technology over the past year, building a 30-strong technology team of data analysts and developers, as well as user experience and design specialists, to work on streamlining and improving the customer experience.
The trade magazine quotes Alex Gosling - co-founder and outgoing chief executive -of the agency - as saying: “This latest funding is not just about capital and marketing investment, it is also sending a clear message of intent from our investors.
“As we move into new, larger offices in Colchester, it will help us continue rapid expansion and make 2018 our best year ever. We are focusing on our performance-driven, cost-effective and scalable online model. Whatever we do, our priority will always be on delivering the best results for our customers.”
HouseSimple charges customers £695 upfront or £1,495 on a ‘pay only if you sell’ basis.