Catapult Homes enables homeowners to purchase a new home before selling their current one by providing a bridge loan that covers the down payment. This allows them to avoid a double mortgage and move on their own timeline.
Funding
$5.6M raised to dateRaised to date based on public sources. This may differ from the amount the company actually raised and is based only on what is publicly available on the internet.
Founders
Product
Problem
Homeowners often face the dilemma of selling their current home before buying a new one, which can lead to temporary housing and added stress. Securing financing for a new home while still carrying a mortgage on the current one can also be challenging and expensive, potentially requiring a second mortgage.
Solution
Catapult Homes simplifies the process of buying and selling a home by enabling homeowners to purchase a new home before selling their existing one. Catapult provides a "First Payment," typically 70-75% of the home's value, which pays off the existing mortgage and covers the down payment on the new home. This allows homeowners to make non-contingent offers and move directly into their new home without the need for temporary housing or a double mortgage. After the homeowner moves, Catapult works with the homeowner's chosen agent to sell the previous home on the open market, and the homeowner receives a "Second Payment" representing the net sale price minus Catapult's initial payment and fee.
Target Audience
Catapult Homes primarily targets homeowners in Northern California and the San Francisco Bay Area looking to buy a new home before selling their current one, particularly those with mortgage balances under 75% of their home's value.
Features
- Provides a "First Payment" covering the existing mortgage and down payment on a new home.
- Enables homeowners to make strong, non-contingent offers on new homes.
- Allows homeowners to move directly into their new home without temporary housing.
- Offers flexibility to choose any real estate agent for selling the previous home.
- Charges no upfront fees or deposits.
- Aligns incentives with homeowners to maximize the sale price of the previous home.