Downsizer.com raised $3.75m seed funding, securing significant strategic investment from the insurance industry.
The round was led by Correlation Australia Holdings, who are affiliated with Lombard Insurance Company Ltd, a leading specialist provider of surety bonds and guarantees with operations in South Africa, the UK/Europe, and Australia including Assetinsure Pty Ltd and Downsizer’s strategic partner Deposit Power.
Downsizer’s Co-Founder & Managing Director Mark Macduffie said: “Our mission is to help downsizers achieve their desired home transition, so they can stop worrying and start living! We know that a big attraction for downsizers is reducing home maintenance and chores, upsizing luxury and convenience, and releasing equity to top up retirement income. At the same time, a big barrier is funding a cash deposit. We’re thrilled to welcome Correlation and Lombard as investors and business partners. Culturally and commercially it’s a great fit.”
Downsizer’s technology is helping property developers, real estate agents, financial advisors, mortgage brokers and lenders, and insurance brokers and underwriters, to engage with Baby Boomers and Gen Xers aged 50+ years. The platform provides digital content and market insights for use in lead generation. It also has a national property marketplace where developers can list offtheplan properties and access a real-time sales dashboard.
Deposit Power’s General Manager Sales & Distribution Brent Davidson said: “We’re excited to continue our synergistic partnership working with the Downsizer team. With Australia on the cusp of a home downsizing boom, we’re proud of our unique Deposit Power Downsizer Bond that enables empty nesters to downsize by securing their new dream home before selling their current one. Together, we intend to ramp up the go-to-market strategy for the product by engaging with mortgage brokers, financial advisors, accountants and superannuation funds.”
In addition to cementing the established relationship with Deposit Power, the strategic investment by Correlation involves the Downsizer team partnering closely with other Lombard family companies who will onboard as clients onto Downsizer’s SaaS platform.
Correlation Australia Holdings’ Director, and Assetinsure’s Executive General Manager Strategy & Business Development, Lance Warner said: “Our sweet spot for investment is early-stage technology and data businesses in the insurance space, with great entrepreneurs, who are building something new in the market. Downsizer ticks those boxes and we’re excited to support their Australian and global growth strategy.”
