What is fintech in real estate?
What is fintech in real estate?
Technically we are considering anything that uses tech to enhance the real estate experience!
WeWork claimed to be the greatest Real Estate FinTech firm. However, maybe they were just the greatest mistake? But lately, we have been seeing a number of mistakes in Real Estate. The real life world of Monopoly is not easy. We can’t all be a Larry Silverstein or Donald Trump. Values don’t always just go up and many of us make mistakes.
But, we look at a firm like Latch and wonder. Where was or is the value? Latch burns copious amounts of money on thin operating margins and huge overhead. When is the promised land of profits occurring? Furthermore, speaking of Larry Silverstein, we just saw Silverstein Properties announce their use of electronic key cards for the World Trade Center. And Latch’s name was nowhere near the announcement. So does Latch offer a technology that is readily available elsewhere?
What about PeerStreet and FundRise? These are probably cheaper to manage platforms, but neither has become a public company so we have no way of knowing which if any works.
Then we look at firms like The Guarantors, which provide guarantees for people looking to rent apartments whose credit isn’t accepted by the landlord. Is this really tech? Well, I guess anything is tech these days? But, at least this is a simple to understand business that can become embedded by a landlord. And then utilized over and over again.
