AI-powered lettings platform Dwelly has secured £69m in fresh funding as it accelerates plans to consolidate the UK’s fragmented rental market.
The London-based firm raised £32m in equity led by General Catalyst, with participation from Begin Capital and S16VC, alongside a £37m debt facility from Trinity Capital.
The combined £69m package will fund a rapid programme of acquisitions across the UK lettings sector.
Dwelly operates an AI-enabled roll-up model, acquiring independent letting agencies and integrating them into a centralised technology platform designed to automate and streamline the rental lifecycle.
FRAGMENTED MARKET
The UK rental market generates more than £100bn in rent roll and £10bn in annual commissions, yet remains highly fragmented, with around 20,000 firms operating nationwide. The top 100 account for less than 30% of the country’s 5.5 million rental properties.
Since launching its acquisition strategy in 2024, Dwelly has bought eight agencies and now manages more than 10,000 properties, placing it among the UK’s top 15 largest letting agents in under two years. The firm reports managing over £200m in gross merchandise value.
Post-acquisition, agencies are migrated onto Dwelly’s AI-driven operating system, which automates tenant referencing, contract execution, rent collection, maintenance workflows and pricing adjustments.
REDUCED LETTING TIMES
The company claims its technology has reduced letting times by a third by generating an average of 10 validated offers per property, compared with the one or two typically secured by traditional agencies.
It also says maintenance response times, which average around 50 days across the industry, have been cut by 33%, with a target reduction of more than 70%.
Ilya Drozdov (main picture, right), Co-founder and Chief Executive of Dwelly, says: “We have crossed 10,000 properties under management, placing us among the UK’s top 15 largest letting agencies in less than two years – an unseen speed of growth for letting agencies.
“Our vision is to build an end-to-end platform evolving into a fully transactional rental marketplace with a robust fintech layer for rent collection and ancillary products.”
OPERATIONALLY DEMANDING
Zeynep Yavuz, Partner at General Catalyst, adds: “Dwelly is transforming one of the UK’s most fragmented and operationally demanding service sectors into a modern, AI-powered system.
“Their platform converts thousands of analogue, agency-level processes into scalable software, improving tenant experience, landlord economics, and agency efficiency all at once.
“We believe this combination of deep industry expertise, disciplined execution, and a systems-level AI architecture positions Dwelly to reshape how rental markets operate.”
With fresh capital secured and consolidation accelerating, Dwelly is positioning itself at the centre of a structural shift in UK lettings – one driven less by shopfronts and more by software.
Main picture: (Left to right) Dwelly Founders Dmitry Khanukov; Dan Lifshits and Ilya Drozdov.
