Jetty: Repairing the Rental Process

Making renting more affordable through greater payment flexibility

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The rental market presents many problems for renters and property managers. For example, rent payments are typically the largest check renters write every month, and strict first-of-month due dates often create cash flow problems. Additionally, the logistics of collecting rent, selecting renters, and handling security deposits is arduous and inefficient for property managers.

Alumni Ventures portfolio company Jetty provides a suite of financial products to help solve these issues. The company’s platform makes renting more affordable by offering greater flexibility regarding how and when renters pay rent, deposits, and insurance. Its products also help property managers simplify operations, increase lease conversions, improve resident retention, reduce bad debt, and boost net operating income.

Triple-Threat Product Offering

Unlike competitors who only offer one-point solutions, Jetty offers three products that provide solutions for differing pain points. These include: 

  1. JettyDeposit covers the renter’s security deposit at lease signing. Customers then pay Jetty a monthly fee over a year, which Jetty takes a commission on. In turn, renters get better access to properties, and property managers benefit from having more customers who can afford to rent.
  2. JettyRent pays the customer’s rent on the 1st of each month and gives customers until the 24th to pay it back either through a one-time payment or installments.
  3. JettyProtect offers renters insurance provided through Farmers. Jetty upsells its insurance with its Deposit and Rent products and receives a commission from Farmers for each policy sold.

These initial offerings have so far proven successful for Jetty. The company currently has 113 partners, including the top three property managers in the U.S. Jetty also plans to expand its products and services to integrate more closely with owners and property managers. For example, their upcoming JettyPayroll product will automatically withdraw rent from the renter’s paycheck to lower the risk of repayment and allow them to qualify for rental units they would have previously been ineligible for. 

What We Liked About Jetty

Successful Go-to-Market Strategy: Jetty partners with property managers to offer its products to renters. Once Jetty integrates with a partner’s management software (like Yardi), they know customers are approved to rent and can reach out automatically. Additionally, other partners make Jetty the default because they take away the logistical and regulatory burdens of handling cash security deposits.

Experienced Team: CEO Mike Rudoy (Princeton’ 07) has served as Founder and CEO of a series of successful companies. These include Breadhouse (part design agency, part consultancy), Ridley (tracking controls and data security), and Big Live (a social viewing network). Mike has attracted a solid senior management team consisting of the former COO of Pinnacle (a property management service with 170K multifamily units and over 700 properties) and OnDeck’s former VP of Engineering and former Chief Risk Officer.

Strong Investor Syndicate: Jetty has attracted established investors like Khosla, Valar, Ribbit, and BoxGroup and has representatives from these VCs on their Board.

How We Are Involved

Nassau Street Ventures (for the Princeton community) sponsored AV’s investment in Jetty’s recent funding round alongside Congress Avenue Ventures (for the UTexas community). Wilshire Lane Capital led the round.

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Contact [email protected] for additional information. To see additional risk factors and investment considerations, visit av-funds.com/disclosures.