Libeen secures €25M to help Gen Z buy a home

Libeen, a Madrid-based "Smarthousing" startup, has closed a €25M funding round.

The round was led by Andbank, through MyInvestor and Actyus (Andbank Group companies), with Cusp Capital reinvesting. Angels Íñigo Juantegui (co-founder of La Nevera Roja), Enrique Linares (co-founder of Letgo, Spain’s first unicorn), and Juan Velayos (founder of JV20) also joined.

Libeen is a real estate startup focused on providing a "smart housing" model, essentially a flexible rent-to-own option specifically designed to make homeownership more accessible and affordable for millennials by allowing them to use their monthly rent payments towards buying a house with a small down payment; essentially turning their rent into a mortgage over a set period of time. 

The way it works is that Libeen purchases a property chosen by the client and establishes a Smarthousing contract. With an initial deposit from 5 percent and monthly payments, approximately one-third of each payment goes toward savings for the purchase. In theory, within 3 to 7 years, clients are ready to formalize a mortgage and become homeowners.

The funding will enable Libeen to expand nationally, incorporate AI-driven technology, and acquire strategic assets in Spain's major cities. 

Libeen's software enables younger generations to save for homeownership through rental payments, allocating a portion of their monthly rent toward building the equity needed to purchase their home.

“The homebuying market no longer meets the needs of younger generations. Only 3 out of 10 young people under the age of 35 have been able to access homeownership. Our goal is to offer solutions tailored to their reality, helping them build equity without requiring a large initial down payment. This is just the beginning—we are already working on an additional funding line of over €100 million, which will allow us to purchase more than 600 homes. We aim to create products that people love and that help them build a better future," said José Manuel Cartes, CEO and co-founder of Libeen.

“Our model has demonstrated a 100 percent success rate in turning renting into a stepping stone to homeownership, and with this funding, we aim to multiply our impact,” added Sofía Iturbe, COO co-founder of Libeen. 

“Libeen is not just a startup; it’s a movement redefining how people build wealth and secure their future. Thanks to the trust of our investors, we are closer than ever to revolutionizing the real estate market, making it accessible, innovative, and adapted to modern needs,” concluded the founders.