Seattle-based tech startup Arrived has secured $27 million in new funding to fuel its innovative platform, dubbed a ‘stock market’ for rental properties. This latest round was led by Neo, with significant backing from Forerunner Ventures, Bezos Expeditions, Core, and other prominent investors. Total funding for Arrived now exceeds $60 million.
Arrived’s platform allows everyday investors to purchase fractional shares of single-family rental homes and vacation rentals, starting with as little as $100. It provides an alternative route to real estate exposure without the complexities of traditional mortgages or property management. The company handles all aspects, from property acquisition and financing to renovations and tenant relations.
Investors can acquire shares through the Arrived website, receiving quarterly dividends from rental income plus a share of any property appreciation after a multi-year holding period. Since its launch in 2019, the platform has attracted nearly 900,000 registered investors who have invested over $340 million.
Key milestones include the distribution of more than $55 million and the funding of over 550 properties across 65 markets within the United States.
This week, Arrived announced the launch of its Secondary Market – a peer-to-peer marketplace enabling investors to directly buy and sell shares of rental homes. This market, introduced earlier this year, saw over 57,000 buy and sell orders within its first three weeks.
‘We believe real estate investing is going to move online,’ stated Ryan Frazier, co-founder and CEO of Arrived. ‘Our vision is a future where real estate investing feels just like investing in public companies – where anyone can buy and sell shares of properties in minutes, not months.’
Arrived generates revenue through various fees associated with property acquisition and management. Notably, they launched the ‘Seattle City Fund’ earlier this year, offering targeted exposure to a single metropolitan area’s housing market.
The company operates within a broader trend of tech companies applying fintech, crowdfunding, and fractional-ownership models to residential real estate, competing with firms like Landa and Lofty. Despite the innovation, concerns remain regarding the potential impact on affordability due to increased investor demand.
Notable investors include Marc Benioff (Salesforce CEO), Spencer Rascoff (Match Group CEO), and Dara Khosrowshahi (Uber CEO).