As usual, when an innovative platform is built and when it’s determined to totally disrupt an industry, there are a lot of people that get threatened, evolutionary fear starts climbing in and people start panicking for no absolute reason.
When Rentberry came out as a platform back in 2015, some people thought it was the end of the world. “How can we have an E-bay – like – platform for home rentals? Won’t that just sky rocket the rental prices?”
If you go on YouTube and look at some archive videos of larger and smaller media outlets, you can still find videos where the journalists (who may live in a 8,000 sqf mansion) are freaking out about the idea of bidding for your apartment. When you look under the fuzz and gibberish talk, you actually start to realize, that Rentberry isn’t that greedy and money loving company some people are describing it to be. In fact, based on statistic data, on average the rents have gone down by 5% compared to if people rented without using the platform. So in other words, people were underbidding and were able to get (on average) a 5% decrease in the rental rate.
So…will tenants benefit more from this platform or landlords? The answer to that is, depends on who is more demanding in top service. If tenants are seeing that the landlord is overpricing the apartment, then they can easily lower the rental rate requested and the landlord will gladly accept the lowered rate for a tenant with good reviews (on the platform) good credit scores etc. So that basically means, that the landlord isn’t obligated to take the highest offer. It’s just one factor that contributes into making the decision of renting to someone or not.
For investors, it’s important to learn how Rentberry will make money from this: well, if you read the white paper (which you can find here: https://rentberry.cryptonomos.com/) you will see that Rentberry collects a certain percentage (25%) on the earnings of each party. So, if the tenant manages to save an extra $100, Rentberry will collect $25. If the landlord rents the property for an extra $100, Rentberry collects from the landlord the $25.
So essentially, if you are on the Rentberry team, it’s a win win situation!