Brendan Wallace

For Fifth Wall, long one of the largest and most active investors in the proptech space, 2025 was a year of renewed growth.

The prior two years had been periods of retraction in both the real estate capital and venture capital markets, which created hurdles for the proptech sector. But, in 2025, the firm saw significant change.

“Those were very challenging years,” Wallace said of 2023 and 2024. “The outflows of capital from [limited partners] and the re-rating of many of the public company businesses created a lot of headwinds for proptech. And what we saw in 2025 was kind of a rebirth of growth in the category. We formed new capital, and brought in new strategic LPs. It was probably our most active investment year. We made a huge number of investments in 2025.”

Fifth Wall made over 40 investments in 2025, an almost 20 percent year-over-year increase when compared to 2024. All told, Fifth Wall as of late April managed $3.2 billion across 10 different funds that are all thematically focused on technologies the real estate industry is adopting. The firm raises a significant portion of its capital from owners, operators and developers of real estate.

Some of the firm’s newest investments include Duranta, NavigateAI, Sekra and PropMatic. Fifth Wall also had five exits in the last 18 months: Document Crunch, WiredScore, Industrious, Urbint and ServiceTitan.

“2025 was a year of renewed growth for Fifth Wall and the proptech ecosystem,” Wallace said. “It was a year of profound change in the technology landscape, largely on account of generative and agentic artificial intelligence.”

Wallace said he saw the real estate industry really lean into AI use, especially when it came to developing programs in-house to help boost the business.

“It’s now become possible for real estate companies themselves to build their own internal AI infrastructure and workflows,” he said. “It used to be impossible or irresponsible for real estate companies to write their own software. This is no longer true. The DIY model of technology innovation is back in a very big way for the real estate industry.”