The closing of QuintaCred operations, a product -oriented product warranty offered to the fifth floor partner real estate, gave the exact dimension that the crisis could be more serious. The market quickly began to move and currently there is already a consolidation movement in the sector.
The fifth floor claims that this was a necessary restructuring to focus on what is your Core Business: the lease itself. On the other hand, Loft, which specializes in guarantees, has been absorbing Quintocred’s wallet and is now planning to close the year 2025 with 650,000 rental bail contracts, compared to the current 500,000. In addition to Quintocred, Loft also acquired 49% participation in another guarantee platform, Credipago.
Thus, in the last two years, small and medium -sized companies have left the activity or have been absorbed by others pressured by the difficulties of the activity and also by competition with more capitalized and technological companies.
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Need for change
According to Douglas Vecchio, founder of the wave (former safe wave), this only confirms that the market will have to change, because the situation is becoming unsustainable for many with increasing default. “Digitization was important and knowledge in credit and risk as well. But one cannot put aside human contact at lease.”
Therefore, the company decided to create a new warranty system, encouraging real estate to expand human contact to reduce so -called sinister, when a tenant gives problems paying the rent or even damaging the rented property. “Warranty’s model A Service (Waas) creates a real estate score, giving a cashback up to 20% for those who closely follow the cases and are more careful with tenants when closing contracts,” he explains.
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The OLX group – owner of the Zap portals, Viva Real, and OLX – decided to seek a partner who understood credit and outsource this problem, closing agreement with Credites. Betting on a partnership with those who have experience in risk assessment and technology, the group began to offer tenure guarantees to the real estate agents of their platform. Between January and August 2025, Creditas has grown 280% over the same period last year, turbocharged by the agreement.
According to Daniel Ricci, Creditas’ tenant guarantee director, the product looks a lot of credit and therefore requires deep risk analysis, fraud control and, especially, capital by companies to support this operation. “Without this, the company can not stand. It is a market that will even be a natural selection and will only survive those who have scale and expertise, especially with the growth of default, which in some parts of the country grows 10%,” he said.
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Scale
With half a million active contracts currently and eight years of operation, Loft today is positioned as the largest private player in the sector. Sandro Westphal, Loft’s vice president of alliances and strategic partnerships, also agrees that without scale, capital and technology it is difficult for a company to survive in this market. “Without this it is not easy to keep the operation standing. So we see a natural concentration between the largest,” says the company’s director, who after absorbing part of QuintoCred and Credpago’s wallet, now bets on his chips on consolidating his leadership.
Loft has also been innovating with the creation of the Invest Warranty, a kind of “turbocharged bond”, where the money placed as rental of the rentals is invested and surrender. For Westphal – who was recently appointed a member of the Sustainable Social Economic Development Council (CDDES), a collegiate linked to the Presidency of the Republic – the debate on regulation of this sector is fundamental and continues open.
Especially at the time of high interest rates, who remove consumers from financing and expand search for rental housing. “Unlike insurance, guaranteers are governed by the Tenant Law, which may even give greater flexibility, but also generates legal uncertainty,” he explains.
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Regulatory environment
For lawyer Eduardo Brasil, partner at Fonseca Brasil office, this change in the market represents a “institutional alert” about the fragility of the regulatory environment. “The absence of a specific legal landmark makes room for operators without financial ballast or proper governance, which exposes lessters and real estate to systemic risks.”
Meanwhile, tenants may end up facing the bureaucracy for income proof or even the headache of having to look for a guarantor, while there is no greater legal clarity and standardization. Currently, only 40% of the market uses some form of tenant warranty and now the advance should be compromised.
Find out what are the rental guarantees
a) Bail insurance: It is insurance hired by the tenant to cover the rent, charges and damage to the property, ensuring the financial protection of the owner.
b) Digital RENTAL GUARANTEE: Technological solutions that combine credit analysis and automations to quickly approve the warranty and without the need for guarantors or security.
c) Capitalization title: The tenant acquires a capitalization title that serves as a guarantee.
