Redpoint eventures led a US$4m seed investment in Kzas, a Brazilian proptech platform matching residential sellers and buyers.
(Press Release) Proptech Kzas creates a new “real estate marketplace” concept that solves all market challenges in one place Kzas raises a U.S.$4 million seed investment, led by Redpoint eventures to fuel growth
Based on an AI system backed by customized personal service, digital RE platform validates information about properties and buyers and suggests current market values for transactions.
Kzas (www.kzas.ai), an intelligent, digital real estate transaction platform, today, announced a new seed funding round of U.S.$4 million led by Redpoint eventures. The Kzas software platform provides a detailed pre-analysis of needs, availabilities, documentation and credit, and then suggests matches between properties and clients, who show a high potential of closing deals. With Kzas, buyers can do everything digitally with autonomy and control
within a user-friendly interface. They are supported by a virtual assistant named Kimi: an expert in promoting kazamentos (from the word “casamentos” or marriages in Portuguese) between home buyers and sellers.
After analyzing buyers’ data, Kimi selects the best properties – based on their compatibility (match) with the desired attributes, and presents them so buyers can choose their favorites.
Once the properties are selected, communications between the buyers and sellers takes place anonymously within the platform, but with support from a Kzas expert during negotiation, closing and documentation. Everything is processed by the system in a simple, secure way with total transparency and without bureaucracy.
In addition, upon closing, Kzas rewards buyers with one percent of the transaction value, which can be used to help furnish their new homes.
The real estate market, like many others, is trying to adapt to a new generation of consumers, the so-called “3.0 customers.” Demanding and connected, they use smartphones to quickly access the best alternatives for commercial products and services. However, these up-and-coming real estate buyers are still concerned about the complexity of the buying and selling process, especially in Brazil, where “seller brokers” show only what they need to sell, and generally with unreliable information about the properties. Buyers are also concerned about the inappropriate use of their personal information and data passed on to these brokers.
With more than 15 years of experience in real estate, Roberto Nascimento, former ZAP CEO, Eduardo Muszkat, founder and COO of You, Inc., and Rodrigo Costa, former CTO of Grupo Zap and Imovelweb portals, combined their broad experience and market knowledge to create a new proptech that would break these paradigms. Founded in March 2019, Kzas uses artificial intelligence, digital automation and its own team of experts to transform the experience of buying and selling real estate.
“Our main objective is to turn this market right side up by focusing on the buyer. We provide an extraordinary and transparent shopping experience, in which the consumer feels safe, confident and, above all, valued,” said Eduardo Muszkat, Kzas CFO.
Only three months after the commercial launch of its platform, Kzas has raised a seed investment of U.S.$4 million, led by Redpoint eventures, one of the largest and most coveted VC investment funds in Brazil. The partnership with the VC fund, which is focused on technology-related startups in Latin America, provides the company with new resources to quickly leverage its growth potential, supported by the proven experience of its founders.
According to Redpoint eventures Partner Rodrigo Baer, the real estate market is huge, and the purchase process in Brazil needs to be completely reinvented.
“This is the most important purchase in a person’s life, yet, it is complex and unfamiliar. Buyers lack adequate information and are very poorly advised by brokers more aligned with the sellers, who pay their commission (in Brazil, there are no “buyer brokers”),” said Baer. “We invested in Kzas because the company is well-positioned to drive significant change in the market through innovation. The co-founders are leveraging their enormous experience in the sector, combined with the latest technology, to solve a huge problem.”
Kzas’ innovative concept was awarded first place among all new proptechs presented at the Global Online Marketplaces Summit 2019 in Miami, Florida, in addition to being featured at Web Summit 2019 (https://youtu.be/GB1pZfu- UnM), in Lisbon, Portugal last November.
One of Kzas’ unique differentials is its position as a “command center” which maps, curates and independently qualifies the entire market of new and used properties, even suggesting adequate prices based on current market values.
“We only promote matches between property sellers and buyers that have the best potential for closing deals, and this compatibility is established after a detailed assessment of the individual needs and credit approval of each buyer, in addition to a thorough verification of the property’s documentation and characteristics. It is a true wedding,” said Kzas CEO Roberto Nascimento.
Humanized, safe technology
At Kzas (www.kzas.ai), buyers can take care of everything digitally and autonomously, always with the help of Kimi – an expert virtual assistant who promotes “kzamentos” (weddings) between buyers and homes.
Advanced technology is used to create a smart and secure transaction platform, designed to provide the buyer with transparency, agility and power to decide. In addition, Kzas is fully compliant with the rules of the LGPD (similar to European Data Regulation – GDPR) which, in Brazil, should become law only next August. This ensures buyers’ and sellers’ personal data remain encrypted and inaccessible within the system.
The Realtor’s new role
Kzas is also introducing a key transformation in current market practices by aligning its Specialists’ interests to that of buyers. Kzas specialists are company employees who receive a fixed salary plus bonuses based solely on client satisfaction. This avoids the typical situation in which a broker in dire straits will do anything to close a sale.
Decorate and help
At the end of the process, Kzas returns one percent (1%) of the total transaction value to the buyer and also makes a donation on his behalf to TETO, an organization active in Latin America that seeks to overcome poverty by building houses in needy communities. In this way, the startup is also helping transform the broader housing market in Brazil.
“The quality of the experience we provide makes us confident that we’ll quickly become popular with both buyers and sellers. Among other benefits, our artificial intelligence system helps to correctly price properties and align expectations, greatly increasing liquidity. This year we intend to broker R$500 million in sales of new and used residential properties,” said Kzas CFO Eduardo Muszkat.
Kzas (www.kzas.ai) is an intelligent real-estate transaction platform which connects buyers and sellers anonymously, taking care of the whole purchase process, from search to financing and closing. Buyers become protagonists and acquire property through the channel of their choice, whether that is WhatsApp, Facebook Messenger, Kzas website (www.kzas.ai) and even by phone, with a specialist service always available.
The Company uses technology and human support throughout the purchase journey and redefines the role of sales’ professionals, transforming the purchase process into a positive, simple, transparent and safe experience. Kzas is a Brazilian company, operating throughout the national territory combining technology and the best people, to help Brazilians fulfill their home-owning dream.
Kzas founding partners are entrepreneurs with proven expertise in the real estate and technology markets for more than 15 years. Roberto Nascimento was founder, CEO and member of the Board of Grupo Zap, as well as Director of Technology and Marketing at Lopes Assessoria Imobiliária. Eduardo Muszkat was founder, CFO and COO of You,Inc, real estate developer, as well as a consultant at Gemini Consulting and McKinsey & Company. Rodrigo Costa was CTO of Grupo Zap and Imovelweb portals.
About Redpoint eventures:
Redpoint eventures is a venture capital firm investing in Latin American startups. The firm partners with visionary founders using technology to create new markets and solve big problems in existing markets. With an experienced team in Brazil and in close partnership with two Silicon Valley firms (e.ventures and Redpoint), the firm helps founders secure the capital, talent and growth to succeed, go further and faster.
Founded in 2012, Redpoint eventures invests across seed, early and growth stages. It manages over $300 million and has more than 40 companies in its portfolio, including Creditas, Gympass, Minuto Seguros, Olist, Pipefy, Rappi and Resultados Digitais.
As part of its mission to support the Brazilian startup ecosystem, the firm co-founded São Paulo based Cubo (www.cubo.network), the second largest innovation hub in the world. For more information, please visit www.rpev.com.br.
U.S. PR and marketing director for Redpoint eventures
Based in San Francisco