Will Smith and Jay-Z are helping to make homeownership more accessible.
As reported on sources, the two megastars are investing in a company aiming to help people with low incomes go from a renter to a homeowner. The company ultimately helps people build their credit.
It’s called Landis Technologies, which is a start-up. So far, it raised $165 million and will use that money to purchase at least 1,000 homes, the article reports.
Bloomberg reports Landis Technologies purchases homes and rents them to the client until they can qualify for a mortgage. The client can repurchase it at a predetermined price up to two years after the initial acquisition. The company also offers financial literacy for its clients.
Co-founder Cyril Berdugo said, “Financial inclusion is really important to us. An aspect of Landis that we’re very proud to be a part of is wealth creation for low-income Americans. We make money when our client [repurchases the house]. If we leave money on the table, that’s our problem.”
Landis Technologies hopes to convert 80 percent of clients from renters to buyers in the near future.
A startup that helps renters build credit until they can buy a place is raising $165 million from a group of investors that includes Sequoia Capital, Jay-Z’s Roc Nation and Will Smith’s Dreamers VC https://t.co/7dCXF2KOlh
— Bloomberg (@business) July 27, 2021
Landis currently operates in 29 cities across 11 states, including North Carolina, Maryland, Pennsylvania, and West Virginia, but the company plans to expand its presence to 20 states in 2022.
You can learn more about Landis here.