Seattle-based real estate tech startup Flyhomes has laid off employees for the third time since July 2022.
A company spokesperson confirmed the cuts on Monday but didn't provide details on how many people were impacted or how many employees remain at the company. Flyhomes, which told the Business Journal at the start of 2022 it had about 820 employees, now has fewer than 500 listed on LinkedIn.
"This extremely difficult decision was necessary for the company to navigate the sustained, challenging real estate market conditions and drive our continued focus toward profitability," the spokesperson said in an emailed statement.
Flyhomes laid off roughly 20% of its staff in July 2022 and an undisclosed number of employees in November. The company cited a cooling housing market as a cause for both rounds of layoffs.
Flyhomes was founded in 2016. The company helps home buyers present all-cash offers so they can stand out from other buyers. After buyers move into their new homes, they can transition to a long-term mortgage, either through Flyhomes or an outside lender. Flyhomes also allows users to search homes, and it has a listing service for sellers. In February, Flyhomes acquired host-to-own startup Loftium for an undisclosed amount.
Flyhomes raised a $150 million Series C round in 2021. The company is backed by Norwest Venture Partners, Battery Ventures, Balyasny Asset Management, Fifth Wall, Trustbridge Partners, Camber Creek, Zillow co-founder Spencer Rascoff, Andreessen Horowitz and Canvas Ventures.
The layoffs at Flyhomes come as interest rates have climbed and homebuying activity has cooled. The market trends have affected multiple real estate tech companies in the Seattle area. Seattle-based Redfin has gone through three rounds of layoffs since June of 2022. Seattle-based Zillow, meanwhile, laid off about 300 employees in October. Zillow announced in November 2021 it was shuttering its home-flipping business, Zillow Offers, in a move that took several quarters and resulted in a 25% reduction in headcount.
