Dubai’s Nomad Homes raises $4m in seeding funding

Dubai-based digital real estate platform Nomad Homes, has raised $4m in seed funding, to scale its US-based engineering team and grow its marketplace and services.

Additionally, the company is laying the groundwork for its second launch city in Europe.

The funding round led by Comcast Ventures, also saw the participation of Abstract Ventures, Partech, Precursor Ventures, WndrCo, and Class 5 Global.

The company is building a managed marketplace for users to search, transact, and finance residential real estate.

Nomad co-founder and CEO, Helen Chen, said that although EMEA’s real estate market represents over $600bn in transactions per year, the customer experience remains far behind that of the US.

“Proptech goliaths including Zillow and Opendoor are built atop multiple listing services (MLS), which provide detailed property information including transaction history, tax assessments, and nearby school districts. Across Nomad’s markets, including its first launch city of Dubai, that level of data transparency does not exist – leaving buyers and renters to navigate a sea of low quality, duplicative listings with no understanding of the underlying details and what the property is actually worth,” added Chen.

“The majority of the process of finding a home across EMEA is still completed offline and is consequently confusing and inefficient. Through the use of better technology and customer service, Nomad aims to bring the entire journey online.”

“Helen and the team bring a unique blend of Silicon Valley DNA, real estate insights and on-the-ground operating experience. We are excited to support Nomad’s quest to deliver a superior experience for all market participants with a technology-first approach,” Daniel Gulati, managing director at Comcast Ventures.

The company intends to offer a managed marketplace – removing fake and duplicate listings. Once a user is ready to choose their home, Nomad makes money by taking a percentage of the commission. By creating its own in-house MLS, Nomad also aims to power its financial products.

Read: Covid-19 impact on the GCC’s real estate sector: Are there any housing concerns?

The Dubai Land Department recently launched an ‘Invest in Dubai’ initiative that connects various stakeholders within the industry with global investors.

Read also: Land Department launches ‘Invest in Dubai’ virtual platform to connect stakeholders

In Q1 2020, a total of 10,243 real estate transactions were recorded in the emirate, up 9.94 per cent compared to 9,317 transactions year-on-year.

Read more: Dubai records 9.9% rise in Q1 property transactions; top 5 areas revealed