Mynd is a web application that helps investors find and manage Single Family Rentals (SFRs) in and from anywhere in the US. It closed $20 million in financing to support its offering, according to the announcement.
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Mynd is a web application that helps investors find, finance and manage Single Family Rentals (SFRs) anywhere in the US
According to a July 17 announcement sent to Inman, the company today closed on $30 million in financing for its next offering, $20 million from Invesco Real Estate, with the remainder coming from existing investors. The funds will go towards general operations, including product expansion and training and development. This is Invesco’s second major investment in Mynd, contributed $30 million in June 2021, part of a $40 million raise at the time.
Doug Brien | Mynd
“It hasn’t been an easy year for the real estate and technology industries,” Mynd CEO and co-founder Doug Brien said in the announcement. Proptech has been hit particularly hard, from failed SPAC offerings to down rounds. Despite industry-wide headwinds, Mynd is positioned for success. This round represents strong confidence in our business model, technology and vision.”
The company’s solution includes tools for in-depth analysis of available SFRs in 26 markets, which delve into expected rents, comparability, maintenance forecasts and provide reports on a range of investment models. It also functions as a lender that offers efficient financial services and allows users to integrate investment decisions at the moment they engage with their potential lenders.
Backflip is an app with a very similar model and both are on the crest of a rising wave of proptech coded to assist family investors. Baselane, which also combines fintech features with automated day-to-day management features, provides in-app banking for the financial management of individual LLCs that manage individual investments.
Plotify offers users a scoring system for cities and zip codes, and currently uses several US cities that are notorious for being underrated. Its algorithm uses 90 data points to create a real estate risk score and narrows down the list to, say, 200 market options. The company will secure the home for the investor and then transfer ownership to the LLC for their buyer.
Also with its own internal banking engine, Aziba is a browser-based application that helps property owner-operators managing anywhere from five to 50 units gain control over their finances, tenants and portfolio.
Mynd also works with institutional investors and “continues to expand its end-to-end institutional partnerships, including buying and managing investments for all interested clients,” the announcement said.
With around $50 million in Mynd, Invesco Real Estate’s Bert Crouch – managing director and head of North America – admitted that SFRs are a “huge opportunity” and an “evolving asset class”.
“We are excited to support Mynd and leverage our strategic relationships as they continue to unlock and realize opportunities for investors,” said Crouch.
Naturally, there are concerns that home ownership traditionally reserved for Wall Street homeowners could affect the open market. The number remains small at the moment, but the momentum cannot be ignored.
Brien spoke at Inman Connect Las Vegas last year.
“I believe right now there’s a certain rethinking of the American dream,” Brien said. “It’s not that people shouldn’t or shouldn’t aspire to own a home, it’s just that we’re seeing people delaying the decision for a number of different reasons.”
Asked about the emerging stigma of corporate home ownership, Brien said it’s about people wanting to be where the work is.
“If you ask the people who rent our houses and they really have professional service and a lot of options for houses, I think they would say ‘wow, that’s really nice.’