NEW YORK, Jan. 24, 2025 // Foyer (foyersavings.com), a fintech company dedicated to making the American Dream of homeownership more accessible to first time homebuyers, today announced the successful closure of a $6.2 million seed funding round. The seed investment, led by Alpaca VC and Hometeam Ventures with participation from Animo Ventures, Resilience VC, Accion Venture Lab, Detroit Venture Partners, and Clocktower Ventures, will fuel the company’s mission to save the American dream of homeownership when home prices are at an all-time high. Despite this fact, nearly 50% of Americans plan to buy a home in the next five years, led by Gen Z and Millennials at 70% and 63%, respectively, according to a recent study conducted by Citigroup. However, in contrast with the importance of this goal, only about one-third of Americans understand the basics of homebuying.
Foyer combines education and financial products in a dedicated space to save for a down payment called a First Time Homebuyer Savings Account (FHSA). The company offers a competitive 4.05% APY, potential state tax savings, and a rewards match on savings contributions of up to 5%, all designed to accelerate the journey towards homeownership for first time buyers. Foyer members set a homeownership goal, and based on their financial profile, Foyer can provide personalized guidance on how much a user needs to save to account for the full costs of homeownership, and recommends additional down payment assistance from thousands of programs nationwide to help users find additional value where possible.
With this new funding, Foyer plans to further invest in product development to provide a more personalized experience for first time homebuyers as they navigate the financial complexities of the real estate market. Foyer’s current member count has surpassed 10,000 in just over a year of going live, with most members between the ages of 20 and 40 and a majority of members representing the fastest growing group of new homeowners – women.
“Saving for a down payment and knowing how to get started are the two most difficult parts to homeownership for first time buyers, and we’re addressing that with our technology and user journey which turns renters into future homeowners” says Foyer’s founder, Landy Liu.
In addition to this new round of funding, Foyer has also established strategic partnerships with industry leaders to further help users save. As of this past summer, a collaboration with Rocket Mortgage will provide Foyer users with competitive closing cost discounts, while a partnership with Anywhere Real Estate gives members access to the largest network of brokers in the country, ensuring expert guidance throughout the home-buying journey.
“This funding round and our new partnerships represent a significant milestone for Foyer,” said Liu. “We’re committed to addressing the home affordability crisis by providing resources which empower first-time homebuyers. By helping people build better savings habits and combining savings across the real estate transaction, as well as through down payment assistance, we can help people save up to 30-40% faster on their future homes. People who set goals are 43% more likely to achieve them. We’re helping people make the American dream of homeownership a goal once more, despite this difficult climate.”
“Foyer’s approach to tackling the challenges of first-time home buying is truly innovative,” said David Goldberg, General Partner at Alpaca Ventures. “We’re excited to support their mission and believe their platform has the potential to transform the way Americans save for and purchase their first homes.”
“Homeownership is a vital pathway to economic mobility, especially for marginalized groups historically excluded from wealth-building opportunities,” said Amee Parbhoo, Managing Partner at Accion Venture Lab. “With homeowners holding nearly 98% of household wealth, achieving homeownership can transform lives. We’re excited about Foyer’s commitment to supporting these individuals with inclusive financial solutions that enable lasting wealth.”
Foyer’s platform is now available in all 50 states, with ten states offering potential tax savings. The company is also expanding its reach by partnering with employers and developers interested in offering a “401k for homeownership” as part of their benefits packages.
###
About Foyer
Foyer is a financial technology company on a mission to save the American Dream of Homeownership. Founded in 2022, Foyer helps make homeownership more accessible and affordable for first-time homebuyers with its technology-enabled “401k for homeownership”. The company’s platform combines an innovative First Time Homebuyer Savings Account (FHSA) with personalized in-app education to help members save for a down payment, learn about homeownership, and navigate the purchase process with confidence. Foyer’s product is available in all 50 states, with ten states offering potential tax savings. By partnering with leading mortgage lenders and real estate professionals, Foyer provides a comprehensive solution to address the challenges faced by aspiring homeowners in today’s market. For more information, visit foyersavings.com.
About Alpaca VC
Alpaca VC is a research-driven venture capital firm led by former founders who invest at the intersection of the digital and physical worlds. Founded in 2013, we’re an all-grit, no B.S. team that operates with an entrepreneurial mindset. Our unique expertise as former founders and operators allows us to identify, win, and add value to the largest opportunities reshaping the real world with technology. Our Field Study program is the engine that powers our approach to investing, gives us the ability to access exclusive deals, continuously grows our strategic networks, extends value to founders through customer introductions, and ultimately wins us into competitive deals. We spend time and invest in sectors we know best, including PropTech, Commerce Enablement, Consumer Technology, the Future of Work, FinTech and the Creator Economy. For more information, visit www.alpaca.vc.
About Accion Venture Lab
Accion Venture Lab is a leading early-stage investor in inclusive fintech providing seed-first capital and strategic support to innovative startups that are meeting the financial needs of underserved people globally. Accion Venture Lab has invested in more than 70 early-stage startups that operate in over 30 countries worldwide with a strong record of financial and social returns. Accion Venture Lab is an investment strategy of Accion and is managed by Accion Impact Management. More at https://www.accion.org/venturelab.
###
Media Contact
Thessa Mooij
tmooij@accion.org
+1.917.631.2518
###