How OKUPIED uses Dwolla’s platform to reimagine rent collection for individual landlords
Despite the advances of mobile and peer-to-peer payments in the past decade, rent collection is still done with disparate tools (cash, checks, bank deposits, etc.). This is specifically true for small-size, individual rental property owners (with up to 20 units), the majority of whom still collect rent via cash, checks or bank deposits.
There are several reasons for the slower pace adoption of online payments in the rental property market:
- Security concerns – There is always a fear of experiencing a fraudulent transaction given the larger dollar amount being sent in each transaction (an average rent in the U.S. is $1,405), which has caused many landlords to be hesitant to adopt online payments.
- Unavailability of convenient tools – Applications built for rent facilitation, specifically for individual landlords, can be hard to find. Almost all of the current rent collection platforms available today are targeted towards institutional landlords (100+ units) and can be complex to learn and use.
- Cost-effective technology void – There is a lack of inexpensive technology available today that provides the same experience for landlords and tenants as the large, complex platforms, but at a fraction of the cost. Again, many applications are geared towards a larger landlord, which can make it unrealistic from a cost perspective for a smaller landlord to adopt a more digitized form of payment.
To address these issues, OKUPIED created an easy-to-use app which provides the 12 million individual landlords in the U.S. with the necessary tools to help streamline their business processes. It addresses many of the challenges of property management, such as rent collection, expense management and lease tracking, all of which are common components in large and expensive property management software. OKUPIED is free for tenants to make payments, and only charges landlords a small fee for each property they choose to collect rent, thus making it a cost-efficient property management solution. Landlords can install the app from the Apple App Store and easily add all their properties on their smartphone. When rent collection is enabled, tenants are provided with a dedicated tenant web portal where they can make a payment, see their transaction history as well as their lease information.
In order to provide the best user experience possible for the payment process, OKUPIED partnered with Dwolla for an easy way to power bank-to-bank transfers. This makes it possible for our users to complete rent collection with a tap of a button. By utilizing Dwolla’s secure payment integration and the partnership with Plaid for convenient bank account verification, the rent collection experience on OKUPIED’s platform is reliable and efficient, taking less than a minute for both landlords and tenants to transfer payments.
OKUPIED’s mission is to reinvent how individual landlords manage their properties and help them become more organized and efficient. We believe that technology can accelerate success and by creating the right set of easy-to-use tools, we can enable our users to solve common business problems on-the-go. To find out more or download the OKUPIED app, please visit www.okupied.com.