Coposit Secures $14M in Oversubscribed Funding to Drive Expansion and Revolutionise Housing Affordability

Sydney-based proptech Coposit plans to accelerate its expansion plans, after completing an oversubscribed $14 million funding round.

Facilitated by corporate advisory firm Ad Astra, the funding round was initially targeted at raising $10 million. However, interest from unnamed international investors, alongside local industry groups, added another $4 million to the round.

Coposit was founded by brothers Chris and Dan Ferris in 2021 as a way to address Australia’s housing affordability challenges.

The startup allows prospective home buyers the ability to purchase off-the-plan properties with a minimum deposit of $10,000, and then pay off the remainder of the deposit in weekly, interest-free payments while their home is being built.

These home buyers don’t pay any fees or commissions for using Coposit, with developers instead paying a one-off fee on sales facilitated via the startup.

To date, the previously bootstrapped startup has provided access to more than 100 projects across Australia’s eastern states, with a combined end value of $9 billion.

“The past three years have been our proving grounds, and during that time our strategy was focused on organic growth and engagement with industry,” said co-founder and CEO Chris Ferris in a statement provided to SmartCompany.

“With our first investment round oversubscribed by 40%, we are in a strong financial position to accelerate our growth and expansion plans for 2025 and beyond,” he added.

“This growth includes investing in existing and new tech products and B2C marketing to reach everyday Australians who are ultimately the beneficiaries of this solution, and empower them to achieve their property goals.”

A number of Australian banks and non-bank lenders now accept pre-sales secured through Coposit, including Commonwealth Bank and the startup recently partnered with Gold Coast master-planned community Harbour Shores by Lewis Land, which represented its largest project on the Gold Coast to date.

Source: Smart Company