As a startup aiming to modernize the real estate industry, Residenture’s top priority is to establish trust and credibility. The same principle applies to verifying their buyers. According to Residenture, with Know Your Customer (KYC) verification, their goal was to avoid manual processes and prevent issues like delays.
Keep on reading how they managed to prioritize efficiency and reliability with iDenfy’s help.
The Challenges
Residenture has introduced a fully automated and flexible property auction model that operates in real-time, setting them apart in the real estate industry. This innovative approach has disrupted traditional practices in the market. Naturally, Residenture needed to keep the same approach towards its KYC process.
However, its distinctive service offering poses unique risk-related challenges. For this reason, Residenture searched for an AI-powered identity verification solution to continue its digitization and transparency to the Swiss and the European real estate landscape.
Residenture had to make sure that everyone involved in the transaction was a real person and had a residence permit in Switzerland.
Without this essential security step, the auction could end with the highest bidder, who might not be eligible to purchase the property due to legal restrictions. That meant such auctions would have no meaning and lose their purpose on the platform, while Residenture would lose its credibility as a service provider.
“Before partnering with iDenfy, we considered manual document verification or notary services as valid options. However, our aim was to create a modern, fully digital process,” said Armin Topic, the Co-Founder of Residenture.
“To achieve this, we strived to automate the verification process as much as possible while also providing users with a self-service auction experience.”
The Solution
Residenture placed a high priority on customer experience, always seeking to strike a balance between providing a secure service and a smooth real estate auction experience.
Through initial research, Residenture found that manual KYC processes are lengthier and more costly. Without an AI-powered ID verification solution like iDenfy, Residenture would have to either take a risk and trust that all users have the legal right to purchase real estate in Switzerland or find a way to perform verification manually.
Both of these options did not match Residenture’s expectations. Residenture recognized this obligation and saw iDenfy’s solution as the best fit to enhance the platform through automation.
To achieve this goal, the real estate company enlisted the help of iDenfy to assist in detecting illegitimate platform users automatically. The decision to avoid manual KYC was based on the following reasons:
- Human error risks. Manual verification methods can lead to unsuccessful auctions for the platform.
- Potential negative impact. Manual IDV methods can increase reputational risks and harm Residenture’s brand.
- Competitive edge. Residenture’s goal was to modernize the real estate market and increase service efficiency through automated tools.
- Building trust. Residenture recognized iDenfy as an extra layer of security, helping the brand build trust and credibility.
As a new startup, Residenture needed to craft its KYC system from scratch. To do so, the real estate company researched the KYC solutions that offered the best customer experience, API integration, technical support, and pricing. Additionally, it was crucial for the ID verification service to be operational in Switzerland when making the selection.
“While all providers offered similar technical services, having a trustworthy partner who could respond quickly to any questions or concerns was crucial,” explained Armin Topic, the Co-Founder of Residenture.
“iDenfy stood out as the best choice in this regard. Their staff, including technical, sales, and customer service personnel, were all top-notch and outperformed the other offers.”
The Results
Residenture was able to mitigate the risks associated with providing their service at scale while ensuring a seamless real estate auction experience by incorporating iDenfy’s identity verification solution.
Residenture prioritized establishing trust with customers on their platform while ensuring that this is done without compromising the overall user experience. The partnership with iDenfy led to the following positive outcomes:
- Residenture no longer requires hiring internal KYC specialists to review each identity document manually. On average, it takes 2 minutes for every bidder to successfully complete the verification process with the help of iDenfy’s full-stack KYC solution.
- With iDenfy, Residenture can verify a larger number of customers faster, saving 88% of time resources and significant KYC costs since they no longer require an in-house team.
The prop-tech startup integrated iDenfy’s ID verification into its end-to-end (E2E) process via API, ensuring that every user who wishes to participate in an auction or sell a property must complete the KYC process.
Implementing iDenfy’s services has enabled Residenture to automate and simplify its onboarding processes while ensuring full compliance with relevant regulations. With an AI-powered ID verification flow, the time required to register new members to the real estate platform has been significantly reduced, resulting in increased efficiency, more clients, and overall business growth.
iDenfy’s implementation ultimately led Residenture to a smoother real estate auction experience for their growing client base.
🟣 More About Residenture
- With the main focus on digitizing real estate transactions, Residenture’s users can bid from anywhere, anytime.
- From the initial listing of the property for sale all the way through to the valuation process and transparent organization of the auction, Residenture ensures that all parties involved are properly reviewed.
“The integration of iDenfy’s verification solution has improved the security of our platform, as it takes care of user validation and data protection. This gives us much more confidence, as we can be sure that all parties involved in the real estate transaction process are verified.”
Armin Topic, the Co-Founder of Residenture