PadSplit, a marketplace offering affordable shared housing, has surpassed a significant milestone by creating over 10,000 rooms in 18 cities across the United States. Founded with the mission to address the lack of supply, access, and affordability in the rental market, PadSplit caters specifically to lower-income workers, providing flexible commitment terms, payments, and eliminating barriers such as minimum credit scores or expensive security deposits.
Addressing Housing Crisis
The achievement of surpassing 10,000 units is significant, especially in the current housing crisis, where economic instability affects individuals’ access to stable living accommodations. According to a recent report by Moody’s Analytics, recovery in the American housing market may take years, with the housing deficit projected to remain in the 1.5 million to 2 million range in 2024.
PadSplit’s founder and CEO, Atticus LeBlanc, emphasizes the critical role housing plays in individuals’ financial stability, stating that housing costs often consume a large portion of income, especially for lower-wage workers. PadSplit believes that everyone deserves affordable housing and aims to make a difference one room at a time.
Impact and Savings
Alongside the milestone announcement, PadSplit shared data highlighting the impact on its users. On average, residents save $332 per month, with a median annual income of $27,636. Active members have collectively saved $2.6 million monthly and generated $47.4 million in total savings. These savings have enabled residents to achieve significant milestones such as purchasing vehicles, traditional apartments, launching businesses, and buying homes.
Affordable Alternative
With the U.S. median monthly rent price reaching $1,966 as of November 2023, housing remains unaffordable for many, particularly minimum-wage employees. In contrast, PadSplit offers an average monthly cost of $729 per unit, making it a more affordable alternative. The platform provides furnished private bedrooms, shared common areas, fixed utility costs, Wi-Fi, 24/7 telehealth services, credit reporting, and job matching services to set residents up for success.
Expansion Plans and Funding
PadSplit currently operates in select cities across 15 states and plans to expand further into Pennsylvania, North Carolina, and Texas this year. Since its inception in 2017, the company has raised $35.1 million in funding from prominent investors such as Core Innovation Capital, Impact Engine, and Mark Cuban Companies.
PadSplit’s commitment to providing affordable shared housing solutions not only addresses immediate housing needs but also empowers individuals to pursue their goals and achieve financial stability.
