The lack of hype in Proptech is no April Fool's joke - Proptech Weekly #26

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Friends, Feudal Landlords and Commoners, 
 

It's Friday, and I'm so excited.

The Wigwamm team went to the OxRes Conference - the attendees were a fantastic mix of Proptech start-ups I'd never heard of before but am genuinely excited about, to large pension funds who were debating the pros and cons of investing in an uncertain world.

With one massive fundraising announcement, I want to address something that really bugs me about Europe: why do both investors and entrepreneurs not get that bigger is better? 

Bigger funding allows for bigger companies to be built to bigger exits with larger amounts of people benefiting and giving back as angel investors. Everyone wins.

Yet the ideas being funded in the UK are small. And their capital raisings are meagre. It makes me wonder what is the point of giving a company so little money that they can't do anything but think about the next raise.

This thought was triggered by Reonomy raising $22m. That's on top of $22m they've already raised. (By the way, they are ENABLING and not DISRUPTING).

Can you imagine what heights a UK company could reach with so many millions in funding? They could change the world! Or at least give that perception to the wider universe and infect people with optimism. 

It's called confidence, and that's worth a hell of a lot.

Just look at what confidence is doing for Fintech's collective prospects. Very little tangible success, but boy is that hype helping the sector gather momentum.

Where's the hype going to come from in Proptech?

Us. Proptech founders. 

If the sector is under-capitalised, then the human capital needs to come together, help each other and create that rising tide of Proptech.

I look forward to seeing a great turn-out at the upcoming Future Property Tech andPropteq Europe conferences.



Please feel free to relay news, tips and comments @RayhanRESI 

 

Rayhan's PropTech Weekly XXVI


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SPD Insights: Future Cities - 13 Apr - Link
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Future Property Tech Conference - 19 May - Propertytech.co
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An interview with Keith Rabois of Opendoor

The most fantastic example of ambition is Opendoor in the US. This interview with co-founder Keith Rabois is the most insight into the massively ambitious company so far. Thanks to Michael Mahemoff of the excellent podcast portal Player.fm: Link
 

One house price index to rule them all (UK Office for National Statistics)

For years the house price indices from the Land Registry and the ONS completely contradicted each other (average house price in Deccember 2011 was £222,000 on the ONS index and £157,000 on the Land Registry). It was literally a national source of mockery. So two years ago they set out to combine their efforts. The result is one index that is a little bit better. It'll be released to the public in June, but property data geeks can have a early nose around here: Link


Trussle founder Ishaan Malhi's eloquence featured on BBC Wake up to Money

20 minutes, 44 seconds in is well worth a listen: Link
 

Everything you need to know about the LISA (FT)

No, not the Apple computer, but the Lifetime Individual Savings Account meant to help people save long term for a home or retirement: Link 
 

Eddie Holmes's Proptech Podcast episode 2 and a half featuring Dan Gandesha of Property Partner

Part 2 of episode 2 of the excellent Proptech Consult podcast with the very polished founder of crowdfunding leader Property Partner Link

Xiaomi CEO Lei Jun's VC investing in Real Estate Tech (Medium)

Even the Chinese are investing with more ambition that UK/EU VCs: Link


Total value of the world's biggest real estate firms

And yup, another pitiful showing from the UK and Europe: Link


Other news from the US

There's just so much of interest, here's a summary:
The Airbnb problem for brokers - Link
Former Fundrise exec rails against extortion allegations - Link
CMBS could make a comeback - Link
Sharestates passes $100m mark - Link
Patch of Land does the same - Link
5 questions with Compass founder Robert Reffkin - Link
Almost no-one is buying Manhattan land - Link
US Pop-up start-up Storefront shuts down - Link


If you enjoyed our little April Fools joke, here's the actual link

And to end on some optimism, here's a piece from the Createstreets campaign on the ideal future of building homes in the UK and what needs to change to make it happen:Link