Big names in the proptech and fintech spaces have indicated a willingness to tackle the real estate payments space, by teaming up on a new joint venture.
An announcement posted on the ASX has revealed the PropTech Group (PTG), Flip Money (FlipPay), Convini and the BC Investment Group have all joined forces on the new venture, aptly named: PropPay Holdings.
Under the agreement, PropPay will create a marketplace for real estate related payments for businesses and consumers – both owners and tenants – across both Australia and New Zealand.
According to a statement, PropPay will “simplify the payment experience when buying, selling or renting a property”.
Card and online payments will be facilitated through an open application program interface (API), as well as through buy now pay later (BNPL) solutions.
Day-to-day operations of PropPay will be the responsibility of Convini’s founder and CEO Cameron Owens.
He will be charged with building out a team to actively secure market share – first in Australia, before moving into New Zealand.
He sees “huge” potential for PropPay to become “a significant game changer for real estate services”.
CEO and managing director of PTG, Joe Hanna, said the aim of PropPay “is to bridge the gap between PropTech and FinTech”.
By providing payments and BNPL technology in the real estate space, he said real estate agents would be better placed to “stay ahead of the game and simplify the payment experience when buying, selling, or renting”.
From his perspective, PTG’s CRM market share makes it “the ideal partner to promote PropPay’s payment solutions”.
“Our clients are telling us that they need access to payment options that will enable them to transact quicker, provide a better user experience and allow them to offer clients access to funds throughout the selling and rental process,” the CEO considered.
“PropPay does just that and enables real estate agents to provide funding for services common in any real estate transaction, including vendor paid advertising and property styling required to make a property ready for sale or rental, plus the early payment of commissions to agents.”
FlipPay co-founder and CEO, Fidaa Haddad, has indicated that the PropPay platform will be made available with deep integrations into CRM platforms, property management, selling middleware and direct in terms of hierarchy.
According to him, it’s FlipPay’s technology architecture and expertise that will enable PropPay to offer white label payment services to real estate agencies and third-party platforms, while a partnership with Till Payments will enable PropPay “to bring new capabilities to the real estate sector”.
Calling the payments system experience “seamless”, he added that real estate businesses will be able to offer a range of flexible payment options, from accepting online payments, deferring marketing costs, providing customers with pay-in-instalments options for certain services and releasing commissions early.
ABOUT THE AUTHOR
Grace is a journalist across Momentum property and investment brands. Grace joined Momentum Media in 2018, bringing with her a Bachelor of Laws and a Bachelor of Communication (Journalism) from the University of Newcastle. She’s passionate about delivering easy to digest information and content relevant to her key audiences and stakeholders.