HomeStars this month announced a partnership with Perch, a fellow Toronto company working to disrupt the real estate industry.
Through the new partnership, HomeStars offers a refinancing option to Canadian homeowners looking to make home renovations, repairs, or improvements. Homeowners can now receive cash based on the equity in their homes and use these funds for home improvement projects.
Last year 8 million homeowners visited HomeStars, which is Canada’s largest network of verified and community-reviewed home service professionals, to get help for their next home improvement project. The company was founded in 2006.
“It’s been a difficult year for Canadians, with the volatile housing market and economic pressures making purchasing newer homes less accessible and forcing many Canadians to stay in their homes longer,” says Shir Magen, CEO of HomeStars. “This partnership will allow homeowners to increase the value of their homes and make the much-needed improvements to their homes.”
The 2021 HomeStars Reno Report reported that 20 percent of Canadians needed financial assistance to execute home renovations, and many put off home improvements due to the daunting costs associated.
“This is a great opportunity to provide Canadians with an alternative to financing to give them continued comfort in their homes and live in a space they’re proud of,” Magen added.
The much younger Perch is a technology platform offering homebuyers and homeowners the financial insights they need to build wealth through real estate.
“Perch’s analytics help Canadians get pre-approved for their mortgages and give them insights to understand exactly how much they can afford,” explains Alex Leduc, Founder of Perch.
Partnering with HomeStars, an anchor on the scene, just made sense.
“We saw a connection to the HomeStars online home services platform,” he said. “Together, we can help homeowners reach their goals faster.”
Perch, which raised a $1 million seed round last year, is known for tools like Pathfinder, Canada’s first web-based tool that offers an instant mortgage rate quote online using predictive modelling for accuracy.