Mashroom, the London proptech promising an “end-to-end” lettings and a property management company, has raised £ 4 m in new investment.
Pitching itself as “beyond tenant-finding” to encompass the whole leasing journey — from property ads, viewing plans, credit background reviews, and upkeep to end tenancy and conflict resolution — the self-service website enables landlords to list their properties, which renters can then quickly rent.
It includes wireless credit and verification checks and rental agreement registration, as well as lease renewals. Additionally, open banking is used to receive rental payments and provide renters with real-time payment information.
“For the most part, leasing and renting is now a fractured, brick-and-mortar business,” says the CEO and ex-venture capitalist Stepan Dobrovolskiy of Mashroom. ” While several new players have come with tech to overcome certain points in the game, we are the first to look at the entire thing from end to end.
According to Dobrovolskiy, this makes Mashroom digitize about “98 percent” of the rental trip, while he insists that some human contact is important and maybe always will be. We agree that technology and software in this industry will improve rather than replace human experiences, and a major part of our brand is building stronger partnerships between landlords and tenants, “he says.
As an example, by giving a week’s rent as a gift, Mashroom allows renters to assist landlords with viewings at the end of their tenancy. “No one knows a property well than people who previously live in it, so it reduces a lot of stress in making existing tenants arrange and at times host viewings that suit them,” Dobrovolskiy says. “This costs less than 2 percent of homeowners’ monthly rent, corresponding to charging 10 percent + to a rental agent to locate a new owner. But at the same time, we are providing financial incentives for owners and renters and giving them more freedom.’
Noteworthy, the simple Mashroom plan is free for tenants and homeowners, with the proptech company raising income from its financial solutions range, which provides the rent guarantee and other insurance programs along with the redemption of the deposits. The company runs its in-house home lender for buy-to-let mortgages and owner refinancing.