Technology-based real estate brokerage Redfin has raised $14.8 million in a new round of funding the company’s chief executive officer says will help it expand and weather seasonal ups and downs.
Redfin is "losing millions in winter and making millions in summer," CEO Glenn Kelman said in a blog post explaining the rationale for the latest round of funding. "We emerge from our caves every spring a gaunt, scared little bear, so we decided it makes sense to put more huckleberries in the bank."
With the latest round of funding, Redfin has raised $46 million from investors to date. Most recently, the company raised $10 million in 2009.
Globespan Capital Partners led the latest round of financing, with previous investors including Madrona Venture Group, Vulcan Capital, Draper Fisher Jurvetson and Greylock Partners also participating, the company said in a press release.
Globespan Managing Director Venky Ganesan will join Redfin’s board of directors.
In a statement, Ganesan said he’s convinced Redfin is "building the foundation to lead a market that generates $40 (billion) to $60 billion in brokerage fees every year."
Kelman said Redfin will use the money to keep expanding geographically, to offer buyers and sellers new services, and for research and development.