Amsterdam’s NestEgg secures fresh funding to transform home equity release market

NestEgg, an Amsterdam-based fintech platform bringing fairness to the broken market of home equity release, has secured “a significant investment” from Germany’s STYX and its team Florian Fischer, David Zwilling and Erik Walkling. 

NestEgg’s partnership with STYX will help the former expand its financial services across Europe, empowering elderly homeowners to achieve their financial goals more flexibly.

The partnership will also help NestEgg to improve its platform, and elevate service standards for homeowners and investors.

Helping homeowners become financially free

NestEgg offers homeowners a flexible and innovative method to access home equity, enabling them to unlock capital without selling or moving. 

Through NestEgg’s platform, homeowners can sell a percentage of their home’s future value to investors, maintaining ownership and residency while receiving immediate funds. 

This appeals particularly to elderly homeowners seeking to supplement retirement income or finance expenses while staying in their homes.

Florian Fischer of STYX, mentions, “On the other side of the equation are investors, who seek to make a social impact while investing in a new and attractive asset class. The rationale behind investing in owner-occupied residential real estate is straightforward: diversification and above-average price appreciation.”

“While traditional real estate investment trusts (REITs) offer diversification, they often struggle to outperform the market due to costs like property management, refurbishment, or vacancies.”

“Yielding above-market returns is more feasible with a property occupied by its owners, as these homes are typically self-managed, well-maintained, and cared for (and do not have tenant/vacancy risk).”

“NestEgg’s platform amplifies this advantage by allowing investors to invest in and trade equity in a portfolio of such homes, which otherwise would not be on the market (as the owners want to stay in them and are not looking to sell). This provides capital protection and above-average asset appreciation, from which the company takes a small share when realised,” adds Fischer.

Brief about STYX

Founded in Mannheim, STYX supports visionary entrepreneurs transforming cities and buildings for a greener, more livable future. 

Besides funding, startups in the firm’s portfolio gain access to STYX Urban Living Labs across Europe, offering market insights, testing grounds, and a dedicated customer network for early-stage success. 

Speaking on the investment in NestEgg, Fischer of STYX, says, “Almost a decade after Andreessen Horowitz invested in the US home equity platform Point, we are excited to be part of NestEgg’s journey to solve the European home equity problem.”

“In the foreseeable future, we look forward to seeing home equity become a liquid and tradable asset class, potentially even traded on the Amsterdam Stock Exchange. The road ahead is long, and we are thrilled to play a part in it.”