The evident dominance of Airbnb and Zillow has transformed the way residential real estate is discovered, managed, and rented. More specifically, the swift rise of these digital platforms marks a paradigm shift, asserting that the top real estate enterprises of the future will be disruptive tech companies.
Airbnb currently lists over 2.3 million homes, averaging more than 500,000 nightly stays across 65,000 cities. In 2016, the home-sharing giant snatched headlines after raising over $555 million from Google Capital and Technology Crossover Ventures, in pursuit of a reported $850 million round, raising the company’s valuation to $30 billion. This valuation positioned Airbnb as the second most profitable tech startup after Uber. To date, Airbnb has successfully raised a staggering $3 billion.
Zillow, the prominent hub for reviewing and sharing real estate information, boasts a market cap of $6.14 billion, generating a total of $96.6 million in funding.
Yet, despite the ability of these power players to successfully scale and master niche segments of the market, questions pertaining to the investment value of property and projected return on investment go unanswered on both platforms. Understanding the evident need and profitable opportunity in solving for this blind spot, one real estate entrepreneur launched a startup to advance the industry and rival the competition.
Founded in 2011 by Bill Lyons, Revestor is a digital real estate search engine that uses proprietary data and live listings to help sync realtors and potential investors with desired residential properties. While other services allow users to search real estate based on specific property details, Revestor lets users search based on investment criteria. This approach works to ensure the most profitable use of available funds, helping homebuyers track the projected resale value of their property over time. Thus, real estate investors can use various tools to determine whether a property matches their firm investing goals.
Revestor’s competitive advantage is found in the platform’s emphasis on customization, providing in-depth analysis tools to assist beginning and experienced real estate investors find potential investments nationwide and accurately measure their likely return. Backed by two of Lyon’s ventures, Lyons Real Estate and Griffin Funding, the progressive startup is looking to redefine the short-term residential rental market.
I spoke with CEO Bill Lyons about the vision behind his company, disruptive the real estate industry, and plans for taking over a rapidly evolving tech industry.
What was the specific void or opportunity that inspired the idea behind Revestor?
Bill Lyons: Technology has changed the way people look for houses. Look at Zillow and Redfin, for example. However, when it comes to residential real estate investing, technology had not transcended a tradition of books and seminars. I knew we needed to solve for this, and that’s ultimately what we did. We built a platform for the future that gives investors the technology, data, and tools to find potential investments.
Most people may not think of a real estate company as a tech company — In what ways do you see Revestor redefining how people view the space in a digital age?
Bill Lyons: Per a 2016 National Association of Realtor’s study, 51% of home buyers found their home without using an agent. Additionally, over 90% used the internet to research the home they were buying. Those who don’t view a real estate company as a tech company will soon be the minority. Revestor seeks to redefine how people search, analyze and acquire investment properties. Zillow is a marketplace, not a real estate company, and they have done a great job…