Reali is a real estate and fintech company that offers services for home buying and selling. Or rather, it was. In yet another blow to Israel Startup Nation caused by the ongoing worldwide financial crisis, the company revealed that it is shutting down its operations and expects to let go of most of its workforce by September 9.
The shutdown comes after Reali brought in $250 million in funding in April 2021. But numerous Israeli firms have been forced to lay off people recently, and some have even seen their valuations decrease. There have been a number of such layoffs made by companies so far in August, including the unicorn Melio, which fired 60 people, and even Wix, the highly successful Israeli company that offers people a way to build their own websites free of charge, had to fire 100 people.
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Reali explained that it failed due to the “challenging real estate and financial market conditions and unfavorable capital-raising environment.” As a result the company determined that its best course of action was to close. Active real estate transactions will continue to be supported through the end of the year by a small team of employees. Reali added that it is in ongoing conversations with companies that have expressed interest in acquiring specific parts of its business, including mortgage origination, title & escrow, and power buying.
Founded in 2015 by Ami Avrahami and Amit Heller, Reali is a real estate and fintech company creating a one-stop-shop to make homeownership “simple, affordable, and stress-free every step of the way.” Reali states that it leverages “first-in-kind” technology to serve home buyers and sellers in a single, integrated platform.
Co-Founder and Chairman of the Board Amit Haller said of the decision to close the company “Reali was one of the pioneering companies to offer the ‘buy before you sell’ and ‘cash offer’ programs to homeowners. We believed deeply in benefiting the consumer foremost in every transaction. The six years Reali spent evolving the prop tech market in California helped elevate and transform the industry.”
“We had an incredible six-year run delighting homeowners,” said Tyler Baldwin, Chief Executive Officer of Reali. “We want to extend our deepest gratitude to the thousands of homeowners who trusted Reali with their homeownership journeys, the Reali team, our investors, and those who rooted for us from the sidelines. It has been a pleasure to serve our communities.”