Overmoon has raised $80 million in funding [Credit: Overmoon]

Overmoon emerges from stealth with $80m debt and equity funding

US: Tech-enabled vacation rental platform Overmoon has emerged from stealth by raising $80 million in equity and debt funding.

The funding includes $10 million in venture capital to scale Overmoon’s technology development, $30 million in real estate equity for down payment on homes, and $40 million in debt financing.

In the process, the company has been backed by the likes NFX, Khosla Ventures, Camber Creek, 1Sharpe, Sunsar Capital, and more.

Founded in 2021, Overmoon seeks to blend the best of what hotels have to offer – comfort, amenities, and concierge-level service – with the best of what vacation homes can offer – shared space for families and friends to gather and build lasting memories.

The startup was founded by CEO Joe Fraiman, who was previously the founder and president of Lyric, departing in July 2020 after the company was forced to lay off its staff and close its locations due to the impact of the Covid-19 pandemic.

Fraiman said: “After countless disappointing stays in short-term rentals, we launched Overmoon to give people the convenience of a rental home with the reliability of a great hotel. After spending years perfecting our formula, we’re thrilled to expand our platform to owners looking to free themselves of the time and expense of property ownership, while diversifying their investment, deferring taxes, and still having access to their vacation property.”

Meanwhile, Overmoon is also partnering with Andreessen Horowitz-backed startup Flock Homes to launch Overmoon Exchange, an innovative, fintech-enabled programme designed to offer vacation home owners significant tax, time and investment benefits by contributing their home into Overmoon’s 721 Fund. Flock Homes already operates a similar exchange programme for single-family rental properties.

The potential benefits to homeowners include:

  • Deferring the capital gains tax that comes with selling an appreciated property
  • Shedding the burdens and costs of property management and maintenance
  • Maintaining regular passive income, in the form of fund distributions
  • Enjoying the long-term appreciation of the real estate assets in the fund’s portfolio
  • Reducing risk by exchanging the income of a single home for a fund of many homes


Pete Flint, general partner of NFX and founder of Trulia, who led the initial venture capital investment in Overmoon, said: “This is a unique opportunity for owners to efficiently manage their estates, while maintaining passive income and real estate appreciation potential.”

Flock Homes CEO Ari Rubin said: “Since launching just over two years ago, we’ve facilitated 721 Exchanges with hundreds of happy owners seeking the retirement solution for landlords. We have the utmost confidence in Overmoon to bring this unique solution to vacation rental owners around the country.”

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