Real Estate: these10 startups will help you become a homeowner.

Stone has always been a safe haven, especially in an unstable economic climate.

Last May, a survey conducted by Yougov for Pretto asked young people aged 18 to 34 about their attitudes towards mortgages. More than half of millennials want to buy a property as an investment for their retirement. But rising interest rates, which from October 1 are 5.8% for fixed-rate mortgages of 20 years or more, are putting the market at risk.

Proptech is trying to get around this obstacle with innovative models: real estate leasing, buying convertible bonds from €10, startups that co-invest in first properties, making it easier to get loans for non-standard profiles, monetizing property...

Technology is changing real estate, creating a new democratic opportunity for a more equal opportunity to acquire property and create wealth.

Virgil will co-invest in your first purchase

"Overcoming the stone line": Virgil presents itself as the first proptech that helps young active people to become property owners 7 years earlier than the average for first time buyers. The company co-invests up to 100,000 euros of capital with them and provides full purchase support, from project simulation to handing over the keys. "Stopping the rent payment and turning it into savings is the first wealth creation tool," explains Saskia Fiesel, founder and COO of Virgil. The startup also aims to address huge inequalities in access to property. "Either you have a down payment (usually tied to an inheritance or help from your parents), or you only have your savings and need to save up to provide your banker with the necessary guarantees to buy a property. However, when you spend an average of 40% of your paycheck on rent, it's hard to save. Consequently, the distance between those who buy - who are building up equity every month - and those who rent - who are throwing money away every month - increases.

Hestia, real estate leasing

Self-entrepreneurs, young active people without down payment, pre-existing credit or no bridge loan: the obstacles to mortgage lending are many and they contribute to inequality. In 2022, Hestia is developing a solution in the form of real estate leasing that will allow ownership gradually and openly to all profiles. The startup studies buyers' applications and calculates their lending capacity for three years. The purchase budget is then communicated to buyers who are looking for a suitable property. Hestia then buys the property on behalf of its customers, who pay the rent. 20% of that rent is redistributed to them to accumulate a down payment. At the same time, Hestia accompanies the buyers through a broker to help them secure a loan and buy the property at a fixed price set three years in advance. The two prerequisites are a minimum net monthly family income of 2,000 euros and a minimum down payment of at least 3% of the total project cost.

Prello: buying secondary housing together

In 2021, Ludovic de Jouvancourt and Sébastien Gal are launching Prello to make it easier to buy a share of secondary housing. The idea came from the observation that the French spend on average less than 40 days a year in their secondary homes.