Foyer, which bills itself as the 401(k) for Homeownership, this week announced that the company is live across Michigan. The company, founded by former Better.com executive Landy Liu, provides accelerated savings programs and a platform of purchasing resources so first-time homebuyers can confidently make their dream of buying a home a reality.
“Just like planning for retirement, homeownership needs a dedicated plan with a matching contribution that enables first-time homebuyers to achieve their dream of owning a home,” said Foyer founder Landy Liu. “After I tried to buy my first home last year and saw interest rates move multiple percentage points in that process, I realized that the prospect for homeownership was in crisis. So I put my own home purchase on pause and started Foyer.
“The same way other major life goals, like saving for retirement and college tuition, have dedicated accounts, Foyer is the dedicated platform for the 50 million potential first-time homebuyers sitting on the sidelines across the U.S. today.”
Foyer matches 1% of deposits up to the first $20,000 each year and provides dedicated tax support, including for its First Time Homebuyer Savings Accounts. High-yield savings accounts provide 4.51% APY. The company said it helps new homebuyers stay up-to-speed on every step of the home-buying journey with education and tools that help them understand how much they can afford, the additional expenses besides a downpayment, how a mortgage works, choosing the right real estate agent, and more.
When homebuying milestones are met, Foyer connects buyers with local agents and lenders who specialize in serving first-time homebuyers. Buyers’ homebuying goals and progress are shared with local experts to ensure a seamless introduction to real estate experts who know exactly where they are on their homebuying journey.
The company has been piloting the platform with 100 users in Michigan over the past few months, and they said the initial response has been positive. Foyer anticipates going live in Colorado and Oregon in the first quarter of 2024.
Foyer will also be expanding its offering to corporate partners in the coming year. By giving employers the option to offer Foyer as a corporate benefit, employers will be able to help their employees combat the home affordability crisis while at the same time improving their own employee retention.