Fintech Platform Levels the Playing Field Between Small and Large Property Owners
NEW YORK, NY / ACCESSWIRE / May 25, 2022 / Steady Technologies, the leading fintech platform serving residential property managers with institutional-grade financial solutions, announced it has secured a $500 million facility to continue scaling its business nationally.
Steady plans to deploy the capital into its Rent AdvanceTM product, which provides residential rental property owners with up to 12 months of rental income upfront. The first-of-its-kind offering provides small rental property investors with a new source of capital that has the added benefit of entirely eliminating resident nonpayment risk. Property management customers benefit through competitive differentiation by offering Steady powered solutions, while also receiving their management fees upfront, allowing them to invest and grow their business more rapidly. Steady has been making advances through select property management customers for the past year and is now making the product available on a national basis through its ever-growing network of property management customers.
Steady helps property managers and individual investors alike by designing products that empower residential property managers with institutional-grade solutions. "By providing liquidity, protection, and insights, our platform gives a much-needed boost to residential property managers around the country and their underlying clients," said John Higgins, Co-founder, and CEO of Steady Technologies. "We've been very successful in bridging the gap between Wall Street and Main Street in a manner that benefits all parties through our proprietary products and technology," he added.
As the largest providers of rental housing in the United States, individual investors own approximately 23 million rental units. However, these providers of essential housing, and their property managers, have been massively underserved, as access to products that provide financial stability and protection is limited. Covid-19 exacerbated the financial strain on individual investors, which, combined with a significant increase in real estate values, has resulted in a sharp rise in unit sales. The result is a loss of nearly 700,000 single-family rental units in the past five years, to the detriment of property managers and the broader residential rental ecosystem. Steady's products protect individual investors, allowing them to continue providing essential rental housing. A key by-product of Steady's business is that it helps alleviate the shortage of affordable housing - which costs the U.S. economy about $2 trillion a year in lower wages and productivity.
Steady has entered into the $500 million facility with Waterfall Asset Management, LLC. "Our decision to support Steady is a testament to their underwriting process and the risk pricing engines the company has developed over the past several years," said James Hwang, Managing Director at Waterfall Asset Management. "Given the size of this market, we see upside in the Steady model and business plan as they leverage technology to provide property management customers with innovative and differentiated solutions."
Steady also raised $5.9 million in a previously unannounced seed round led by Fintech Ventures Fund, with participation from Plug and Play Ventures, Silicon Badia, and Waterfall Asset Management along with significant participation from a hand-picked roster of strategic entrepreneurs and executives across the real estate, insurance, and lending industries.
About Steady Technologies
Founded in 2018 by John Higgins and Vik Sarkissian, Steady is a leading technology platform that provides property managers and owners with access to new and innovative financial products. Steady's suite of tailored financial and insurance products is designed to reduce risk, eliminate bad debt, and generate ancillary revenue for its property manager customers. Through its technology, Steady provides property managers with products that benefit their owner customers, while also providing competitive differentiation for their business. Steady's insurance products are offered through its affiliate licensed agency and in partnership with a top US insurance carrier that is a Fortune 100 Company rated A+ by A.M Best and S&P.
Learn more at www.steadyrent.com
SOURCE: Steady Technologies