NEW YORK, October 7, 2021 -- CB Insights this week named Pacaso, the leading real estate platform that helps people buy and co-own a luxury second home, to the fourth annual Fintech 250, a prestigious list of emerging private companies working on groundbreaking financial technology. This year’s list was unveiled on stage at CB Insights’ Future of Fintech conference in New York City.
“This is the fourth class of the Fintech 250, and it’s also the most international, representing 26 countries. These 250 fintech startups are attacking an incredibly diverse array of financial services opportunities across 19 sectors, including digital banking, insurance, payroll, retail investing, and more,” said CB Insights CEO Anand Sanwal. “After being named to the CB Insights Fintech 250 last year, the 2020 class saw 17 companies go public and 25 get acquired. They also went on to raise over $25B in additional financing and forged more than 380 new partnerships after being recognized. The Fintech 250 has a history of spotlighting the very best fintech companies, and this year is no different. We're excited to see how these fintech startups disrupt and transform financial services in the years ahead."
Pacaso modernizes the decades-old practice of co-ownership by creating a platform that streamlines the process of buying, owning and selling a luxury second home. On average, second homes are only used 5-6 weeks a year, leaving nearly 10 million second homes unoccupied for 11 months a year in the U.S. - a waste of supply in a market experiencing record-high demand. Pacaso empowers a more diverse and inclusionary sphere of second home buyers to own a share of a luxury second home, and experience true real estate ownership, all while improving the utilization rate of homes that would otherwise sit empty.
The category-creating company launched in October 2020 and by March 2021 was the fastest U.S. company to reach unicorn status. Recently Pacaso announced $125M in Series C funding led by SoftBank, bringing the company’s total valuation to $1.5 billion. Pacaso’s permanently distributed workforce of more than 120 employees spanning 20 states has increased 364% since January 2021, and the company now operates in 25 top second home destinations across the U.S. Additionally, Pacaso has announced that it will commence European expansion in Spain by the end of the year and is actively recruiting a dedicated local team to support global efforts with plans to expand swiftly into other European markets.
“We are thrilled to be named in this year’s Fintech 250 list from CB Insights alongside a truly impressive array of companies,” said Austin Allison, CEO and co-founder of Pacaso. “Pacaso’s inclusion on this list reiterates our mission of providing an innovative and more sustainable way to own real estate in today’s market by making more efficient use of housing stock. With new markets in the pipeline, we are excited for Pacaso’s continued growth, allowing for more people both nationally and internationally to experience the joy of second home ownership.”
Through an evidence-based approach, the CB Insights Intelligence Unit selected the Fintech 250 from a pool of over 17,000 companies, including applicants and nominees. They were chosen based on several factors, including data submitted by the companies, company business models and momentum in the market, and Mosaic scores, CB Insights’ proprietary algorithm that measures the overall health and growth potential of private companies.
Fintech 250 2021: Investment Highlights
- Unicorns: 118 of the 250 companies (47%) are valued at or above $1B as of their latest funding round
- Funding trends: In 2021 year-to-date (YTD), these 250 private companies have raised $40.3B in equity funding across 275 deals (as of 9/14/21)
- Mega-rounds: Since 2020, there have been 178 mega-round ($100M+) equity investments to this year’s Fintech 250, with 138 of them in 2021 YTD
- Global representation: 36% of the 2021 Fintech 250 are based outside the US. After the US, the UK is home to the most Fintech 250 companies (25), followed by India (12). This year’s winners are based in 26 countries, including France, Brazil, Germany, Indonesia, and Nigeria.
- Top VC investor: Ribbit Capital is the most active investor in this year’s Fintech 250 companies, having invested in 62 deals since 2016. Since 2019, Ribbit has participated in 41 deals with this cohort of companies, including to Nubank, Uala, Brex, Vouch, Razorpay, and BharatPe. Tiger Global Management and Accel were close behind with 57 and 55 deals, respectively.
About CB Insights
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Pacaso® (pronounced like "Picasso") modernizes the decades-old practice of co-ownership by creating a marketplace that makes buying, owning, and selling a luxury second home easy. From curating the best listings in top second home markets to offering integrated financing and sales from as little as ⅛ to as much as ½ ownership; upscale interior design; and professional property management, Pacaso provides owners with all the benefits of owning a second home with less hassle. After purchase, Pacaso manages the home on an ongoing basis and supports a frictionless resale process in partnership with a licensed real estate professional.
Pacaso was co-founded by former Zillow executives Austin Allison and Spencer Rascoff.