85% of property managers experience application fraud, which accounts for an estimated 25% of evictions
Los Angeles, CA --- March 15, 2022 – Snappt, a PropTech company offering fraud detection for property managers, today announced it has secured $100 million in Series A funding, led by New York-based global private equity and venture capital firm Insight Partners. The company's Series A funding continues the momentum of rapid growth Snappt saw in 2021, including apartment unit and revenue growth of +700%. The new investment will be used to accelerate product development, increase sales and marketing efforts and expand market reach.
Snappt’s software helps property managers accurately screen tenant applications and detect when financial documentation, such as pay stubs and bank statements, have been fraudulently altered. This helps property managers avoid bad debt and costly evictions, and keeps high-risk residents out. Currently, one in eight applicants (12.2%) commits application fraud. By detecting this fraud, Snappt helped its customers avoid more than $105 million in bad debt in 2021.
Over 1,000 multi-family communities use Snappt, including four of the top five property management companies.
“Our vision is to dramatically lower the number of fraudulent tenant applications that go undetected, helping our customers save millions in eviction costs and minimize risk,” said Daniel Berlind, CEO and cofounder of Snappt. “Insight Partners’ alignment with this vision will enable us to scale and continue the momentum.”
"Snappt’s ability to detect forged documents is revolutionizing the rental screening process. Their solution addresses the biggest challenge for today’s property manager – lowering eviction rates and thus reducing bad debt,” said Thomas Krane, Managing Director at Insight Partners. “Snappt has the right mix to become a major force in the real estate market: an experienced executive leadership team with a proven track record in the property management sector, a highly-unique software solution and viral product-market fit. We look forward to partnering with Snappt as they continue to grow.”
About Insight Partners
Insight Partners is a global software investor partnering with high-growth technology, software, and Internet startup and ScaleUp companies that are driving transformative change in their industries. As of February 24, 2022, the closing of the firm's recent fundraise, Fund XII, brings Insight Partners regulatory assets under management to over $90B.
Insight Partners has invested in more than 600 companies worldwide and has seen over 55 portfolio companies achieve an IPO. Headquartered in New York City, Insight has offices in London, Tel Aviv, and Palo Alto. Insight's mission is to find, fund, and work successfully with visionary executives, providing them with practical, hands-on software expertise to foster long-term success. Insight Partners meets great software leaders where they are in their growth journey, from their first investment to IPO. For more information on Insight and all its investments, visit insightpartners.com or follow us on Twitter @insightpartners.
Snappt, a Los Angeles based real estate technology company, provides a quick and inexpensive data-driven fraud detection service that can accurately spot fraudulent documentation. Snappt is used by 3 of the top 6 property management firms in the US.