Announcing Pacaso - make second homes more affordable

I'm excited to announce today my new startup, Pacaso. Our team, led by my co-founder and CEO (and my fellow former Zillow executive) Austin Allison, are on a mission to democratize access to second home ownership, a luxury to which millions of Americans aspire but which seemed previously inaccessible. We secured funding and got to building, with Austin as CEO and me as chairman.

Then Covid-19 hit. We didn’t know what would happen. But we kept building the company, ready to make changes as the world changed. But what we found as the “new normal” settled in was that people were seeking safety, security and serenity -- something we were offering. We’ve already sold shares of second homes in places like Napa Valley and Hilton Head SC. Owners are mostly people who live in nearby cities and appreciate working and doing distance learning at a place that feels like a getaway.

Here’s how it works: Buyers considering a second home can tell Pacaso where they want to buy, how much they want to spend and how much time they expect to spend in the house. Then we work with a local real estate agent (we pay all commissions) to find the perfect home and set up a co-ownership LLC. The buyer can purchase anywhere from ? to ? of the home. Once half of the home is sold, Pacaso will briefly purchase the remainder of the home, before reselling the remaining portion to vetted buyers. Pacaso will manage the property, and owners will use our mobile app to make scheduling easy and fair. 

So for anyone out there who has dreamed about owning a second home and now wants to make that a reality, Pacaso can help you "right size" your ownership by making it accessible and affordable. And for any of you who own a second home but don't use it 12 months a year, Pacaso offers a way to "sell down" a portion of your home in order to share the cost burden with others, and allow you to keep owning the home.

Thanks to the incredible team who has joined us on this mission. And thanks to the extraordinary investors who have backed us with $267 million of capital to make this a reality.

Learn more in the media coverage:

Press release

Wall Street Journal

Geekwire

Inman News

The Real Deal