South African prop-tech company Preferental has launched an advanced app designed to transform the tenant-screening process, offering landlords a quicker, more efficient, and cost-effective alternative to traditional methods.
Founded in 2017 by Ross Fitzcharles, Preferental has been at the forefront of developing solutions that streamline property management, combining modern technology with industry insights to assist landlords in managing properties and building long-term wealth.
The newly introduced Preferental Screenings App leverages artificial intelligence (AI) and machine learning (ML) to automate and expedite tenant evaluations. What once could take days or even weeks now occurs in a matter of seconds, providing property managers and landlords with reliable, real-time assessments of potential tenants. This innovation allows users to make well-informed decisions more swiftly, reducing the stress and delays often associated with tenant screening.
Fitzcharles highlighted the pressing need for such a tool, noting that 18.3% of tenants in South Africa are currently in arrears, with the average default amount reaching 77.5% of one month’s rent. As rental income continues to be at risk, landlords face the growing possibility of prolonged vacancies, financial strain, and the expensive process of legal eviction.
Yet, a significant concern remains: 40% of landlords in South Africa do not conduct any form of tenant vetting, exposing themselves to these risks. Fitzcharles further explained, “Only six out of 10 landlords currently engage in tenant screening, a crucial step in identifying responsible tenants who are more likely to fulfill their financial obligations and maintain the property. Failing to conduct thorough checks can lead to major issues, including non-payment of rent, property damage, and even illegal activities.”
In this environment, Preferental’s new app promises to be a vital tool for property managers aiming to secure stable rental income and reduce the risks associated with tenant defaults. Through its advanced technology, the app ensures landlords have the information they need to maintain secure and profitable rental businesses.
