Rhino, a real estate technology company and “pioneer of security deposit insurance”, has entered into a definitive agreement to acquire the technology and assets of Deposify.
Rhino’s mission is to give renters greater financial freedom, by eliminating the need for traditional security deposits by replacing them with smart, affordable insurance.
Instead of a large upfront cash security deposit, renters pay Rhino a monthly fee, and Rhino insures the property owner for damages that might occur and lost rent.
Deposify, a portfolio company of Sunriver Ventures, is a cash deposit collection and compliance company for landlords and property managers across the US.
Rhino said that a combined offering, set to launch imminently after the transaction closes this year, will bring to market the first end-to-end deposit management and compliance platform to service more than $45bn in cash deposits and security deposit insurance for 43 million rental homes nationwide across the entire rental industry.
To further advance its mission of increasing transparency between renters and landlords, Rhino is also launching Credit+.
The product will provide renters at partner communities with a means to build credit through on-time rent reporting.
Rhino’s new service will be available exclusively to renters through partners that use Rhino’s end-to-end deposit management platform, and will be free of charge to renters and property managers.
Paraag Sarva, Rhino co-founder and CEO, said, “Today’s announcement is a direct response to hundreds of conversations with renters frustrated by waiting for deposit refunds and landlords and property managers struggling with time-consuming operations, looking for more cost-effective ways to handle cash.
“While renters and landlords alike are enthusiastic about our work to introduce a new way to secure a home with Rhino’s deposit insurance product, the reality is cash deposits will continue to be used for some portion of transactions, and we’re in a unique position to solve those challenges. We’re going to give renters a world-class, technology-first experience regardless of how they choose to move-in: with deposit insurance or with a cash deposit.”
Earlier this month, Rhino partnered with insurance carriers and reinsurers Ally Insurance, ReAlign and Clear Blue Insurance Group.
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