The investment is significant. While the Internet-based mortgage brokers that have gone bust have largely been the victims of over-zealous expansion, YHD is focused tightly on its home base of New Jersey. Now firmly established as a lending force in the Garden State, it's finally ready to expand, and the $20 million investment is specifically targeted for that purpose.

"I've met with the top people of many real estate companies over the past three years, and I believe that YHD's model is the most thoroughly thought-out one I've seen--and the correct one" according to Hunt. "I feel it will be the industry standard within the next decade."

Foxton's London market share is 25%, which means that it knows something about selling homes. Last year it sold more than $3 billion worth of homes and leased 5,000 rental properties.

"The philosophies of our companies are similar," according to Glenn Cohen, founder and president of YHD Realty. "Working with Foxton's will provide a unique combination of experience and services."

Officials of both companies emphasize that the investment is not for current operations, but for expansion beyond the borders of New Jersey. Officials won't confirm the targets, but New York and Pennsylvania are expected to be part of the initial expansion effort.

YHD Realty is said to be making money one fiscal quarter ahead of its original business plan, and is involved in the sale of one out of every 50 homes being sold in the Garden State. Hunt confides that he was attracted to YHD as an investment after he heard Cohen give a 10-minute address at a conference last fall in California that focused on online real estate topics.

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