[Updated] Indonesian proptech firm MilikiRumah closes $2m seed round

Editor’s note: The article has been updated to clarify that Milikirumah is yet to reach the first close of its its private equity vehicle.

Indonesian proptech startup MilikiRumah has raised a total of S$2.6 million (around $2 million) in a seed funding round led by Singapore’s family office Ruifeng Wealth Management, according to the company’s statement on Tuesday.

The latest infusion includes a S$1.6-million commitment from Ruifeng Wealth, as previously reported by DealStreetAsia in November 2024, and additional backing from institutional investors such as Tembusu Partners and Trigger Asset Management, as well as angel investors including PropertyGuru co-founder Jani Rautiainen and Singapore country head Tan Tee Khoon.

The funding is being used to develop MilikiRumah’s technology stack, proprietary credit scoring system, operational support infrastructure, and to fund a newly-launched inaugural one-hectare pilot housing project in Tangerang, Banten province.

The project, located around 49 km west of Jakarta, is expected to deliver approximately 95 freehold houses and serve as a showcase for MilikiRumah’s blueprint, which combines property development, credit building, and social impact in a vertically integrated model.

In parallel with its seed fundraise, the company has launched its first private equity vehicle—MilikiRumah Rent-To-Own Fund 1—a targeted $50-million fund structured as a four-year closed-end vehicle targeting a 20% internal rate of return (IRR) for limited partners.

MilikiRumah’s CEO Winston Lee said the company is looking to reach a first close of $10 million by Q3 2025, with a full close projected within the next two years.

Lee explained that this is part of the company’s phased strategy, with the equity round intentionally completed first. “It’s not a delay,” said Lee.

The fund is managed by MilikiRumah’s SG entity, RightKey Capital Pte Ltd, with the startup acting as both general partner (GP) and developer-operator.

MilikiRumah is targeting LPs from family offices, private equity firms, philanthropic foundations, and financiers out of Singapore and highly developed gateway economic centres.

The first batch of capital will be used exclusively to acquire 2,000 new landed homes across Bekasi, Bogor, and Tangerang, working in collaboration with local tier-two developers. These homes are priced between 300-700 million rupiah (roughly $18,291-42,681) and will be co-owned by MilikiRumah and the developer until residents secure bank loans and graduate into homeownership.

A Singapore-style rent-to-own model

Founded by former PropertyGuru executives Winston Lee (CEO), Marine Novita (President Director), and Lau Xin Yuan (Finance Director), MilikiRumah operates under RightKey Capital Pte Ltd in Singapore and its Indonesian arm, PT Miliki Rumah Indonesia.

MilikiRumah’s model draws inspiration from Singapore’s Housing Development Board (HDB) and Central Provident Fund (CPF) system for the Indonesian market. The startup is positioning itself as a social impact proptech player bridging the home ownership gap for informal and non-fixed income earners—such as freelancers, small business owners, gig workers, and digital entrepreneurs—who are often excluded from traditional mortgage financing due to a lack of credit history or verifiable income.

“We’re building more than just homes—we’re building credit pathways for people excluded from traditional financing systems,” said Lee. “Our equity backers believe in this mission to unlock long-term ownership for millions of Indonesians who can afford a home but are denied mortgages due to limited credit history.”

Its rent-to-own programme offers consumers the opportunity to move into new, landed homes after an initial 10% down payment, followed by monthly instalments over 10-15 years. However, rather than extending the rent term indefinitely, the programme is designed to help participants “graduate” to bank-issued mortgage loans within 1-2 years.

Indonesia is facing a deepening housing crisis. According to 2023 data from the Ministry of Public Works and Housing, the country’s housing backlog reached 12.7 million units, up from 11 million units the previous year. The backlog—defined as the gap between available housing and public demand—is projected to continue rising by 600,000-800,000 units annually, largely driven by the increasing number of new families seeking homes.

However, access to financing remains a major hurdle. Many young people have been locked out of the mortgage market, in part due to credit defaults from buy-now-pay-later (BNPL) or other online loan platforms. These defaults are recorded in the Financial Information Service System (SLIK), which is widely used by banks to evaluate borrowers’ creditworthiness.

According to the Indonesian Real Estate Association (REI), approximately 40% of mortgage applications are rejected due to prior loan defaults.