Payment technology company flatfair has launched Boost, a service providing landlords with up to six additional weeks of damage protection.
The service also allows landlords to recover damage costs one day after charges are agreed.
Boost is priced at 1.5% of the monthly rental value (+VAT); the average monthly rent in England is £700, meaning many landlords would only have to spend just over an extra £10 a month.
Landlords can also use Boost with flatfair’s existing no-deposit solution, which allows tenants to move in instantly by simply paying a one-off check-in fee equal to one week’s rent plus VAT.
A flatfair survey of 329 buy-to-let landlords found that more than three-quarters of landlords would want to take Boost on, and would be willing to spend £25 a month on the product.
flatfair’s landlord survey found many wait more than two months for issues to be resolved and for money to be released from the Deposit Protection Schemes.
This development follows the launch of Resolve, a free online tool for landlords to propose and agree on rent payment plans for renters who have fallen into arrears during lockdown.
The firm raised £11m in a funding round led by Index Ventures last August, and has partnered with institutional landlords and managing agents, including Spicerhaart, Beales, Greystar and CBRE.
Franz Doerr, founder and CEO of flatfair, said: “Boost provides the same streamlined rental experience users have come to expect from flatfair but offers landlords added peace of mind during these extraordinary times.
“While renting through traditional methods means landlords can only secure a deposit capped at just five week’s worth of rent, flatfair with Boost provides an additional six weeks of protection.
“Furthermore, we will also pay out the cost of any damages within just one day after charges have been approved, so landlords can enjoy more peace of mind when it comes to their properties and better plan for the future.”
Paul Sloan, lettings operations director at Spicerhaart, added: “flatfair’s service has firmly established itself among many of our landlords as an effective and innovative partner that delivers extra protection and faster payouts.
“During these uncertain times, many will no doubt be taking stock of their current level of damage protection and seek to enhance it in the way that Boost does.”