[Funding] FinTech HomeCapital raises seed funding from Varanium NexGen Fund

HomeCapital is a Mumbai-based fintech startup. It focusses on assisting people to find homes and pay for them in India. Recently, this fintech startup has raised its seed funding. has raised a funding round led by Varanium NexGen Fund.

What is HomeCapital?

The company was founded in 2017. It helps people with Home Down Assistance Program (DPA). Through this program, it assists all those who want to buy their first home early in their lives.

Here's what it does. It speeds up the ownership of their houses. The programme provides down payment assistance to homebuyers. Moreover, this assistance can be up to half of their initial costs at zero interest rate. Later, homebuyers pay back the zero-cost assistance over a period up to 1-2 years. Also, all leading residential developers in the country across major cities accept the terms of the HC Program.

The website reads:

Our vision is to bring a positive change in the lives of millions of home buyers. By solving the critical problem of down payment through an innovative and powerful idea of using your future savings, we accelerate your dream of homeownership.

HomeCapital claims to have facilitated $125 million of housing sales till date through its flagship program. The company is also in pilot stages of HomeNxt, an industry-wide home loan co-lending platform. This platform will facilitate the flow of credit to affordable housing and share lending infrastructure among the housing finance companies.

The company also pilots HomeNxt, an industry-wide home loan co-lending platform. This platform aims to facilitate the flow of credit to affordable housing and share lending infrastructure among the housing finance companies. Further, the company said it aims to help accelerate the $100 billion housing industry. And later, it aims to reach approximately $500 billion by 2025.

Who were the investors?

HomeCapital has raised seed funding from Varanium NexGen Fund. Other prominent investors include:

• Venture Catalysts
• JITO Incubation and Innovation Foundation
• Singapore Angel Network
• Venture Gurukool
• Shalin Shah

Also, Unitus Capital was the financial advisor to the transaction. Further, Aparajit Bhandarkar, Partner, Varanium Fund, commenting on the funding said:

HomeCapital’s product addresses an important challenge for the millennial home buyers and the real estate market. The team has a strong track record of execution, both from a technology and business perspective at frugal costs.

How will the company use the fund?

Commenting on the funding, the founding team of HomeCapital said:

With this capital commitment, we continue to build a strong business foundation in the housing sector. Also, we continue to support aspiring homebuyers and remain focussed in bringing a positive impact on the lives of millions of people.

The programme is live across Mumbai, Bengaluru, Chennai, Pune and Kolkata. Now armed with the new funds, the company will expand its operations and scale up the technology infrastructure.