Fintech Platform Adds Latest Offering for Renters
Jetty, the financial services company on a mission to make renting a home more affordable and flexible, announced the launch of Jetty Rent, a new product that removes the cost burden of expensive late fees by giving renters the flexibility to choose when they pay their rent. This latest offering on the Jetty platform was developed and brought to market with the backing of a new, $23M equity financing round from investors that include Citi and Flourish Ventures.
According to data from the National Multifamily Housing Council (NMHC), in the first six months of 2021 an average of 21% of renters failed to pay their rent by the 6th of the month*, a cutoff date that would typically trigger late fees from property owners. The federal eviction moratorium restricted the charging of late fees, but with the moratorium now partially lifted, many renters will once again be facing this financial challenge.
“It’s a tricky situation—property managers need predictable cash flow to meet their financial obligations, yet forcing renters to meet rigid, first-of- the-month payment dates doesn’t reflect the financial realities of today’s renter population,” said Mike Rudoy, Co-Founder and CEO of Jetty. “We solved this monthly headache with Jetty Rent, which gives renters more flexibility with payment while at the same time offering property managers the reliable cash flow they need.”
With Jetty Rent, Jetty will pay rent on behalf of renters on the first of the month and renters will then have until the 24th of each month to repay Jetty, which they can do in one lump sum or through installments..
To launch Jetty Rent, the company partnered with Cortland, a top 20 real estate investment, development and management company, who rolled out the offering to residents across a portfolio of properties.
“At Cortland, we’re focused on improving the resident experience, and the process of paying rent is a massive part of that,” said Jonathan Kirn, Director of Ancillary Services at Cortland. “Jetty Rent makes life easier on our residents and takes the burden of rent collection off our shoulders—it’s a true win-win.”
Jetty Rent is the latest product to be offered by Jetty. The company also offers low-cost renters insurance as well as its industry-leading security deposit replacement, Jetty Deposit.
“We’re seeing overwhelming demand from renters and property managers alike for new financial services across the entire renter lifecycle,” said Rudoy. “Our team is working toward building the most all-encompassing financial services platforms for the rental market. From Jetty Deposit to Jetty Protect to now Jetty Rent, our platform is unrivaled in the industry.”
Emmalyn Shaw, Managing Partner at Flourish Ventures, added:
“Embedded finance platforms like Jetty are quickly becoming one of the most influential technology trends taking place around the world—one where the customer’s experience with such things as online payments and loans comes first. We’re thrilled to back the Jetty team as they continue to develop their fintech platform and product offerings to help reach those who need relief and flexibility with meeting housing costs.”
Jetty Rent loans are made by Cross River Bank, an Equal Housing Lender, Member FDIC. All new Jetty Deposit bonds are backed by Farmers Insurance