OOO: Shit’s expensive. Should you be using rent tech to optimize your finances?

If you listen to podcasts, you’ve likely heard an advertisement for Bilt, the card that lets you earn points and build credit on rent payments.

Bilt is just one solution in a larger category of financial technology (fintech) called rent tech. In the past, homeowners were the only ones with the ability to get rewarded for their payments (by building equity in an asset and getting tax writeoffs on mortgage interest). But now, that’s changing.

“The rent’s too damn high,” said Rowland Hobbs, CEO and co-founder of Stake, a rent tech solution that gives renters cash back and other perks. “If you pay the rent, you should get something back.”

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Income isn’t keeping up with the cost of rent + essentials 

U.S. rent increased more than 18% from Jan. 2021 – Jan. 2025. At the beginning of this year, it sat at an average of $1,607. Meanwhile, the average U.S. income increased just over 9% from 2021–2023 (the latest nationwide data). While more recent data may make the comparison come close to evening out, it’s worth mentioning that rent isn’t the only cost that’s skyrocketing. From groceries to medicine, our dollar simply doesn’t go as far as it did just a few years ago.

This makes free rent rewards programs all the more crucial to balancing out household finances.

The world of rent tech, demystified

Getting cash back when you pay rent on time creates a win-win for landlords and tenants, said Hobbs.

“The 350,000 renters that we have today, the top three things that they're spending their cash back on that they get on rent are groceries, medicine and childcare,” he added. “Real everyday essentials. That's really what people are struggling with.”

Stake offers cash back for tenants when they find and renew a lease and pay rent. They also offer free credit building by reporting on-time rent payments to credit bureaus. “We see credit scores going up over 54 points when people are getting their on-time credit reported to credit bureaus,” said Hobbs.

A caveat: Properties do have to be in the Stake network for tenants to use their product, but Hobbs said finding a Stake network property means something, namely that the owner prioritizes social impact and is less likely to leave you financially struggling (or living in a total craphole of a house).

Other solutions, like Bilt and Piñata, offer points instead of real cash back. This might be right for some people, but Hobbs—and I’m recognizing his bias here—said points tend to have less real-world value, especially in burdened economic times.

Hobbs pointed out that card holders of all kinds have a big problem with abandoned points. A LendingTree survey showed 40% of rewards credit cardholders haven’t cashed in on any rewards in the past year. “Is this really useful for your resident?” asked Hobbs. Plus, when points can only be used at certain establishments, that puts real financial benefit even more out of reach. For example, Hobbs said, “A soul cycle class is a nice thing to have, but it's probably not a must have, especially if you're struggling with rent.”

Ultimately, it’s up to renters to decide which rewards system works best for them, and it’s up to landlords to decide how best to serve their tenants. But the reality is that rent tech is filling a real gap.

It’s even inspiring local and state governments to start working with tenants on rewards systems of their own. Take Colorado’s Proposition 123, for example. Approved in 2022, the Colorado State Affordable Housing Fund provides approximately $300 million in affordable housing funding via grants and loans. Combine this with rent tech and renters might finally be able to catch a breath.

Thanks,