Money funneling into real estate technology ventures significantly slowed in the past three months, even though overall funding in the first half of 2026 was roughly the same as last year.

Proptech funding during H1 came in at $4.53B, according to new data from the Center for Real Estate Technology & Innovation. That is approximately the same as H1 2025, down by just 0.6%.

But the investments were concentrated in the first three months of the year. In April, May and June, proptech funding totaled just under $1.3B, down from $3B during the same time last year.

And it was a drastic slowdown from the first quarter of the year, when proptech funding totaled $3.25B. The total of less than $1.3B in funding during Q2 was less than that of just January, which totaled more than $1.7B.

Six of the top 10 largest deals of the year occurred in January, with companies like Terralayr raising $412.9M in a venture and debt round and Mews raising $300M in a Series D round.

The volume of proptech funding has fallen significantly over the past three years since the 2021 and 2022 spikes. And the beginning of 2026 looks no different. This year's H1 is around 65% lower than the first halves of those years.

H1 also showed how funding distribution fell into a “barbell” pattern, suggesting that “company formation and capital accumulation occurred in different parts of the market,” according to the CRETI report.

Of the total 231 funding rounds that were disclosed during the first half, the 11 totaling $100M or more accounted for 49.6% of the total funding, while 75 were for less than $5M, totaling 2.8% of the total funding.

Meanwhile, there were 58 disclosed deals between $10M and $50M, making up 29.4% of funding, and only nine between $50M and $100M, representing 13.6% of the total volume.

“The result is a market that appears stable in aggregate but uneven beneath the surface,” the CRETI report says.

The most common type of investment in the first half of the year was debt, which accounted for 27.7% of the total proptech funding. Venture funding made up 18.3%, and private equity made up 10.4%.

“A period with large debt financings may show strong funding volume without necessarily indicating increased early-stage venture risk appetite,” the report says.