Located in downtown Los Angeles, Circa LA is a billion-dollar high-rise luxury residence offering 648 luxury apartments and penthouses.
As is common throughout the industry, Circa LA accepts lease applications online. This is convenient and fits with consumer preferences, but also increases the chances applicants may submit phony documentation that manual verification misses. Circa LA brought in Snappt to detect fraudulent applications, which immediately helped them avoid $400,000 in unpaid rents and evictions.
Fraud was an expensive problem for Circa LA costing them $25,000 per average eviction. The problem can be even more expensive. If someone understands the law, they can stop paying and live rent-free for six months while Circa LA works to evict them. That’s $150,000 for one of their penthouses.
Circa LA brought in Snappt to attack the issue of fraudulent lease applications. Snappt offers a data-driven fraud detection solution. Snappt electronically analyzes financial documents submitted by the lease prospect looking for a variety of telltale signs that the document has been altered. The technology is highly accurate, yet much faster than manual methods of verification and therefore doesn’t slow the leasing application process.
The return on investment for Snappt has been immediate. In a typical month, 37% of applicant packages submitted to Circa LA contain edited/suspicious documents that are invisible to the human eye. Snappt's initial rollout helped Circa LA avoid $400,000 in potential eviction costs. Avoiding just one eviction would pay for the service for several years.
We get perhaps 20 fraudulent tenants a year that slip through, that’s hundreds of thousands of dollars lost to unpaid rents and evictions. With Snappt we are provided with the certifiable proof we need to reject fraudulent applicants with confidence.