Single-family rental management firm Poplar Homes Land $53 million

Poplar Homes, a technology-focused property management company for investors and single-family rental (SFR) owners, raised $53 million in a Series B funding round.

Poplar Homes, a technology-focused property management company for investors and single-family rental (SFR) owners, raised $53 million in a Series B funding round.

The company said the funding was led by LL Funds and included new and existing investors, including Crescent Cove Advisors and AGNC Mortal REIT. Computer scientists and investors Jeff Dean and Zain Jaffer also contributed.

Poplar’s target audience is those who manage rental properties themselves. The company said 90% of SFR shares in the country are privately owned and there are more than “seven million individual SFR owners who have always been DIY owners”.

“Poplar Homes owners own an average of 1.4 homes, making them truly independent, ‘mom and pop’ investors who have never been able to access technology and management platforms bespoke real estate used by major commercial institutions,” said Poplar.

In what has become a popular model of late, Poplar Homes secures its customers’ rent with guaranteed payments if tenants, for whatever reason, fail to pay on the third day of each month. Poplar also tackles tenant qualification, including employment verification and background checks.

The company offers $15,000 eviction coverage if any of its referred tenants go through the process. Legal requirements and tenant rights laws make evictions problematic for individual landlords. It is often easier and more affordable to allow tenants to leave.

Homeowners who hire Poplar Homes have an online administrative portal from which they can monitor their home’s activity. This involves tracking payments, tenant logs, and property maintenance records. The company also offers the creation of 3D tours for each ad.

Tenants can use Poplar’s website to search for homes, visit them virtually, submit requests and once approved and in the home, use Poplar’s machine learning technology to manage maintenance tasks and “resolve 65% of all remote maintenance issues”.

StreetCred is Poplar Home’s solution to help tenants become homeowners.

Similar to the heavily funded Gravy and Divvy Homes, those enrolled in the StreetCred program can see 20% of their rent paid into an account which is realized as cash back upon closing of a home purchased through Poplar.

Investing in technology for the rental industry is all the rage, largely a by-product of the historically tight housing market.

Rental proptech Zumper has raised over $150 million to date, Lessen raised $35 million in June last year, and NestEgg, an app for individual owners, raised $7 million in 2020. Tenant’s first owner CRM Funnel Leasing announced a $36.5 million round in February. This year.

Baselane, a fintech-proptech hybrid targeting SFR owners, was reviewed by Inman last week. And, Redfin will now publish homes for rent on its national website after acquiring RentPath in 2021.

“We are well positioned with 7,500 doors and growing,” Poplar co-founder and CEO Greg Toschi said in a statement. “Single-family rentals are an increasingly valuable asset, and Poplar is at the forefront of bringing institutional operating power to main street real estate investors, who often spend hundreds of hours a year on everything , from rental and maintenance to legal and accounting issues. ”

In addition to a number of recent executive hires, Poplar Homes announced the acquisition of nine property management companies in several high-growth markets across the country. It continues to consider a number of others to meet its growth plans.

Poplar Homes co-founders Toschi, Chuck Hattemer and Rico Mok started the company in 2014 while students at Santa Clara University. They wanted to create a solution to help students find off-campus rental housing. The company employs 200 people and operates homes in California, Washington, Nevada, Texas, Missouri and North Carolina.

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