Insights

While Up&Up's genesis was a "fair deal among friends," its has designed a product that relies on avoiding brokerage fees (by selling to users), and then renders users unable to purchase by utilizing user’s equity as cheap leverage to amplify its own (to perhaps 4-5x user’s). Up&Up has built a negative feedback loop.

Key is a Canadian PropTech firm focused on smoothing the path to homeownership. It provides residents with the central attributes of homeownership paired with the most attractive aspects of renting and dollar cost averaging functionality that reduces basis risk. Key offers its investors multiple shots on goal. Its co-ownership product is superior to those of its US-based rent to own peers. Its property management tech could secure adoption in the SFR or middle-market multifamily spaces.

This week we discuss Unison Homes, a home ownership model created by a group of Wall Street veterans that fits roughly within the down payment assistance segment. Unison makes bold claims of social impact and herein we evaluate it across value created for the user, investors, and society.