HomeRoom is a property management and real estate investment platform that enables investors to rent out residential properties by the room, optimizing returns and increasing access to affordable housing. HomeRoom helps property owners maximize rental yield—often earning up to 50% more rent—while providing affordable, community-oriented living options to renters in cities across the United States.
How Does HomeRoom's Room Rental Model Work?
HomeRoom manages the entire process for property investors, from sourcing and acquiring homes in cities popular with young professionals to overseeing renovations and finding vetted tenants for each room. Their approach includes:
- Identifying single-family homes in urban areas with strong demand for affordable housing
- Coordinating property purchase and renovation, typically readying homes within 20 days
- Renting out each bedroom to qualified tenants, rather than leasing the entire property to a single renter
- Handling construction, tenant vetting, rent collection, and ongoing property management
This model allows renters to access housing at an average monthly rate of $458—about 50% lower than comparable market prices—while investors benefit from higher occupancy rates and potentially up to 22% ROI. HomeRoom has scaled rapidly since its 2018 launch, growing to 105 homes across 31 cities, and attracting over 85 property investors.
What Technology and Trends Power HomeRoom?
HomeRoom operates at the intersection of proptech and real estate investment, leveraging data engineering, machine learning, and NLP to streamline operations and match renters to rooms efficiently. The founding team brings expertise from Airbnb, Facebook, and advanced machine learning research, helping to optimize tenant matching, dynamic pricing, and risk management.
The rise of remote work, urban affordability crises, and the popularity of co-living among younger renters have fueled demand for HomeRoom’s approach. Investors are drawn by the platform’s ability to manage all aspects of property rental, from acquisition through ongoing management, with technology-driven efficiencies.
Who Are HomeRoom’s Competitors?
HomeRoom operates in the growing proptech and co-living sector. Key competitors and comparable platforms include:
- Bungalow – Specializes in managed co-living homes for roommates in major U.S. cities, with a focus on professional tenants and furnished spaces.
- PadSplit – Focuses on single-room rentals for workforce housing, particularly in the Southeast U.S., enabling landlords to rent by the room to lower-income tenants.
- Common – Offers flexible co-living arrangements and managed rentals in urban centers, typically with private bedrooms and shared amenities.
- Roomi – A roommate and room rental marketplace connecting individuals seeking shared housing, though with less emphasis on investor-focused property management.
Each of these platforms focuses on addressing urban affordability and optimizing property income, but HomeRoom differentiates itself by offering comprehensive property acquisition, renovation, and ongoing management services specifically designed for investors seeking to maximize returns through room-by-room rentals.
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