Flyhomes is the newest tech startup to chop jobs.
The Seattle actual property firm laid off roughly 20% of its employees, a spokesperson confirmed to Startup. The corporate didn’t present an up to date headcount. It has 763 staff, in line with LinkedIn. One worker stated 200 staff had been let go.
Tech corporations throughout numerous industries are shedding staff or freezing hiring as a approach to curb bills amid the present downturn. Rising rates of interest are affecting U.S. dwelling gross sales, which has compelled actual property corporations reminiscent of Flyhomes and others to trim headcount.
Flyhomes cited the impression of rate of interest will increase on demand for housing in an announcement about its layoffs.
“To construct the world’s finest dwelling shopping for and promoting expertise, we should function in a fashion that’s each fiscally prudent and sustainable within the face of unsure financial situations,” the corporate stated.
Redfin, one other Seattle actual property firm, laid off 8% of its workforce final month. Compass additionally minimize jobs and shut down its Seattle-based title enterprise.
Different Seattle-area tech startups together with Convoy, Qumulo, and Esper have laid off staff in current months. Google is freezing hiring for 2 weeks, The Data reported Wednesday.
Based in 2016, Flyhomes helps folks purchase houses utilizing a money provide program which presents prospects because the equal of money patrons. A majority of the corporate’s income comes from agent commissions.
The startup additionally presents mortgage providers and has a Purchase Earlier than You Promote program that helps sellers purchase and transfer into their subsequent dwelling earlier than promoting their present property.
Flyhomes has helped prospects purchase practically $3 billion value of houses.
The corporate is led by CEO and co-founder Tushar Garg. It has raised greater than $200 million so far, together with a $150 million Sequence C spherical raised in June 2021. Traders embody Norwest Enterprise Companions, Battery Ventures, Fifth Wall, Camber Creek, Balyasny Asset Administration, Andreessen Horowitz, Canvas Companions, and former Zillow Group CEO Spencer Rascoff.