As part of its Series A financing round, CBA’s venture-scaling subsidiary X15ventures made a minority investment in Australian fintech OwnHome.
OwnHome is a “rent-to-own” firm that buys property for a purchaser and leases it back to them for up to seven years, allowing them to save up a deposit and arrange financing to buy it entirely.
OwnHome presently has 3500 candidates on its queue, with intentions to acquire 200 houses for accepted consumers over the next two years, according to CBA.
The Series A fundraising round was headed by X15ventures and global investment company SquarePeg and was allegedly valued $31 million.
Last year, OwnHome received an extra $150,000 in investment from X15ventures’ Xccelerate2020 event.
The investment adds to CBA’s growing portfolio of home-buying companies, which includes Doshii and:Different.
Angus Sullivan, CBA’s group executive retail banking services, stated that the latest investment is “helping to solve one of the most significant difficulties now confronting first-time home purchasers.”
“As Australia’s leading lender to first-time buyers, innovating and enhancing the home-buying experience is at the heart of what we do to assist our clients,” Sullivan said.
“Today’s investment in OwnHome will give more options to folks who want to buy a house but don’t want to go the typical rent-and-save method.”