Ownwell has raised $50 million to expand its AI-powered property tax appeals platform, betting that rising home ownership costs will drive demand for automatic tax breaks.
A fast-growing property tax appeals startup is betting that the rising cost of homeownership will continue to drive demand for automated tax relief tools.
Ownwell has raised $50 million in Series B funding, allowing the Austin, Texas-based company to expand and expand into other states.
The round includes $30 million in equity led by Alpha Edison and Mercato Partners and $20 million in debt financing from Western Alliance Bank. This raise brings Ownwell’s total funding to approximately $74 million since its founding in 2020.
Automate historically opaque processes
Ownwell works in the field of property tax appeals, combining data analytics and local tax expertise to help homeowners contest potentially overvalued property assessments.
Rather than charging an upfront fee, the company operates on a contingency model where it typically receives about 25 percent of the tax savings it secures for its customers.
Property tax bills are a growing concern for many homeowners, but relatively few take formal action due to the complex and localized appeals process.
Ownwell aims to reduce this friction by automating parts of the analysis and submission process and managing documents and submissions on behalf of clients.
“Investment firms and major real estate companies have lawyers and experts who know the ins and outs of local policy, and they save a lot of money,” Colton Pace, Founder and CEO of Ownwell, said in a statement. “We bring the same expertise to the average homeowner at the click of a button.”
The company reports that it has processed more than 1 million disputes and achieved an average annual savings of $774 per customer. In addition to its main product, property tax appeals services, the company also offers tax bill management, mortgages, home insurance, energy savings and rate reductions.
Expansion beyond core states
Ownwell currently provides full-service appellate representation in seven core states: California, Florida, Georgia, Illinois, New York, Texas, and Washington, managing end-to-end property tax appeals.
With this new funding, the company plans to expand geographically into other states and through its National Appeals Packet product, an AI-powered tool that generates ready-to-file appeal documents, instructions, and supporting data for homeowners in jurisdictions it does not yet directly operate.
This broader strategy reflects a growing wave of mortgage-related fintech startups targeting the ongoing cost of homeownership. This includes tools for property taxes, insurance optimization, and other recurring expenses rather than one-time transactional revenue models.
Discovering increasing structural inefficiency in housing
After the 2021 funding peak, proptech venture investing has become more disciplined and selective, with deal numbers and overall early-stage activity declining compared to the peak funding era.
However, investors continue to support startups that provide tangible and lasting value, especially those focused on cost savings and cost optimization tools for homeowners.
Companies like Ownwell are tackling rising property taxes and generating repeat engagement year after year through their tax dispute services, reflecting investor interest in tools that reduce friction and deliver tangible savings to consumers.
“We’re looking for companies that not only join the market, but redefine the market,” said Ryan Saunders, managing director at Mercato Partners. “Ownwell has transformed a notoriously opaque, manual and labor-intensive process into a high-growth digital platform. By leveraging AI to solve universal pain points for homeowners, they are growing a category-defining business, and we’re proud to be helping them do it.”
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