Divvy Homes

Facilitates rent-to-own homeownership model

San Francisco, California, United States

About Divvy Homes

Divvy Homes provides a rent-to-own model that helps individuals and families achieve homeownership. The company purchases homes chosen by clients and rents them out, allowing clients to live in the home while saving for a down payment. A portion of the monthly rent contributes to this savings goal. Clients go through an application process to get approved and can select from Divvy's listings. While Divvy manages major repairs, tenants are responsible for routine maintenance. When clients are ready to buy, they can use their accumulated savings for the down payment and closing costs. If they choose not to purchase, they can walk away with their savings, minus a fee. Divvy Homes stands out by offering a flexible alternative to traditional mortgages, making homeownership more accessible for those who may not qualify for conventional financing.

San Francisco, CaliforniaHeadquarters
2017Year Founded
$379.4MTotal Funding
DEBTCompany Stage
Real EstateIndustries
51-200Employees

Benefits

100% remote first culture
Flexible PTO
Monthly mental health day
Generous leave policies
Company-sponsored Modern Health coaching & therapy sessions
Equity
Paid medical benefits
401k match & access to a financial planner
Professional development stipend
Remote workspace allowance
Monthly co-working space stipend
Paid parental leave

Risks

Acquisition in a 'fire sale' suggests financial instability and undervaluation.
Recent layoffs indicate operational challenges and financial strain.
Valuation drop from $2 billion to parts sale highlights investor confidence issues.

Differentiation

Divvy Homes offers a unique rent-to-own model for aspiring homeowners.
The platform allows clients to select any home on the market for purchase.
DivvyUp program helps clients become mortgage-ready, enhancing their homeownership journey.

Upsides

Increased interest in alternative financing models boosts demand for Divvy's services.
DivvyUp program attracts new customers seeking mortgage readiness.
Brookfield Properties acquisition could enhance Divvy's operational capabilities and market reach.