Duppla Secures US$60M to Expand Alternative Housing Financing

Duppla, the Colombian housing finance startup, has raised approximately US$60 million in a combination of debt and equity to expand its capacity to finance home purchases and strengthen its residential rental investment platform. The company is targeting Colombians who face barriers to accessing traditional mortgage loans.

Founded in 2022 by  Cristian Villamizar and Felipe Fierro, Duppla's latest financing was led by a fund managed by Patria Investments, marking the Brazilian firm's first venture capital investment in Colombia. The round also included Skandia Planeación Financiera, Cometa, Grupo Pegasus, Nazca  and other national and international investors.

Duppla's rent-to-own model for homebuyers

Duppla's business model is designed for people who struggle to qualify for conventional mortgages. Instead of requiring customers to obtain a traditional mortgage upfront, the company purchases the property selected by the client and rents it to them under an agreement that includes a purchase option for a period of up to five years.

Customers contribute at least 15% of the property's value as a down payment and can live in the home while Duppla finances the remaining amount.

During the agreement, customers also have the opportunity to build the credit history needed to eventually access a traditional mortgage once the contract ends.

The startup currently serves approximately 300 families in Bogotá and nearby municipalities. With the new financing, Duppla plans to expand into Medellín, while continuing to strengthen its platform focused on residential investment.

Why Patria Investments invested in Duppla

For Patria Investments, the investment reflects the potential of Duppla's model to address a structural challenge in Colombia's housing market.

“We saw a model that can significantly contribute to closing the gap for Colombians who cannot access a mortgage,” said Diego Chona, Partner and Head of Private Equity LatAm ex-Brazil at Patria Investments.

Chona also highlighted the collaboration between Patria's real estate, private equity and venture capital teams, which helped the firm identify an opportunity in a segment with significant development potential.

The transaction is also part of Patria's broader regional expansion. The asset manager manages more than US$59 billion in assets and strengthened its presence in venture capital across Latin America, the United States and Europe after incorporating Igah Ventures in 2022.

Duppla targets Colombia's mortgage inclusion gap

The Colombian housing market provides an important context for Duppla's approach. In 2024, only 3% of adults had a mortgage loan, while a significant portion of the population earns variable or informal income and faces difficulties building a financial history.

Mortgage rates also averaged 16.1% in 2023, among the highest levels in the region.

Against this backdrop, rent-to-own models seek to provide an alternative for families that currently remain outside the traditional financial system.

Key elements of Duppla's model

• Duppla purchases the home selected by the customer.
• Customers make a down payment equivalent to at least 15% of the property's value.
• The agreement combines a rental arrangement with a purchase option for up to five years.
• Customers can build credit history to facilitate access to a future mortgage.
• The company plans to expand from Bogotá into Medellín.

Duppla prepares for its next stage of growth

The financing round highlights growing investor interest in solutions focused on housing and alternative financing in Latin America.

For Patria Investments, Colombia remains a priority market, where the firm manages or maintains investments exceeding US$7 billion. The investment firm also expects to double its venture capital exposure over the next three to five years.

For Duppla, the new capital provides resources to expand its presence in additional cities while continuing to develop its residential investment platform.

A new push for housing access in Colombia

With the backing of international investors and a model designed to help families that remain outside the traditional mortgage system, Duppla is positioning itself as an emerging player in Colombia's alternative housing finance market.

The company's next stage will focus on expanding beyond Bogotá, beginning with Medellín, while strengthening a model that combines rental housing with a pathway toward homeownership.