(Bloomberg) -- Habi, a Colombia-based real estate startup backed by SoftBank Group Corp., said it acquired a Mexican rival, making it the largest tech-based buyer of residential properties in a country that’s gaining growing attention from so-called property technology firms. 

Habi purchased OKOL, the parent of online marketplace Propiedades.com, and broker Tu Canton for an undisclosed sum. The acquisition, Habi’s first, gives it a presence across Mexico. It was already operating in Mexico City. 

“We’re becoming the largest consolidated prop tech in the country and we’re integrating to become the largest iBuyer in Mexico,” Brynne McNulty Rojas, co-founder and chief executive officer said in an interview.

Latin America has become a hot market for startups and investors, with venture funding last year hitting a record. Property technology, or proptech, companies have increasingly focused on Mexico, with Colombian and Brazilian firms inking acquisitions and launching expansions in the country in the past year. 

Habi received $100 million in a series B fundraising round in June led by SoftBank. Tiger Global Management, 8VC and Homebrew also contributed. McNulty said the company is not planning another equity raise in the short term. 

Founded in Bogota three years ago just before the Covid-19 pandemic began, Habi uses an algorithm to value homes. Homeowners can sell their properties in digital transactions, in what is known as iBuying. The company then rehabs the homes and sells them in a process that takes an average of six weeks, far shorter than traditional transactions, McNulty said.

iBuying has become a hot-button issue for online real estate companies, with Zillow Group Inc., Opendoor Technolgies Inc. and others buying and selling thousands of homes in the U.S. to big investors in markets that are starved of affordable properties. 

McNulty sees differences in Latin America, where countries lack a central property listing database and homeowners, buyers and banks are often unaware of the value of properties. During the pandemic, McNulty said Habi allowed property owners to more easily cash out. 

The company is focusing on middle-class neighborhoods, with most transactions in Colombia ranging from $15,000 to $150,000. 

“The entire residential real estate system is broken” in Latin America, she said. “We’re really here to change the way that people can manage their own household wealth and not just in the kind of sexy high-end apartments.”

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