There is virtually no industry the blockchain technology has not touched. Look around and you will find elements of the technology in music, health, finance, and other important sectors in the economy. The impact of blockchain technology has been massive, affecting the lives of individuals around the world positively.
It is interesting to know that blockchain technology also interacts with the real estate industry. Real estate has long been the rich’s investment preference. This is because few investments continue to have the same degree of net income and capital appreciation.
Despite the profitability of the industry, the obstacle to joining the real estate sector has also been incredibly high. These hurdles may include residency, accreditation, and connections to the right sponsors and fund managers among a list of popular problems.
Over the years, some experts have taken these problems into consideration and applied blockchain technology to solve them. So many blockchain projects have been initiated with the aim of solving modern-day problems in each industry.
Popular Ways Blockchain has Solved Real Estate Problems
Linking Buyers with Sellers:
Of course, there are several platforms for trading real estate properties and services. The problem with these platforms has been issues connected to fraud. Blockchain provides innovative ways to exchange real estate services and properties, integrating platforms and agents to engage in transactions more comprehensively.
A popular blockchain organization implementing a solution to this problem is ATLANT. ATLANT helps buyers to tokenize commodities, effectively to treat them like a stock transaction, and to liquidate the commodity with a token sale through the network. Collected tokens can be traded for fiat currency, with buyers having a percentage share of the land or property.
The transparency of the decentralized network can also reduce the costs of real estate transactions. Beyond the savings made by cutting intermediary professional fees and commissions, there are other costs, such as inspection costs, registration fees, loan fees, and property taxes. Such prices also vary based on the area over which they have authority. Like intermediaries, they can be reduced or even eliminated from the equation as blockchain platforms automate these processes and make them part of the system.
One such platform is Deedcoin. Deedcoin was designed to remove the centralized control of the real estate industry from large powers like mega-brokerages along with their antiquated 6% commissions. Instead, every ten Deedcoin is used for 1% of a property’s total cost, regardless of the property price.
Global real estate is worth hundreds of trillions of dollars but is dominated by wealthy and big companies. By way of blockchain technologies, it is likely that more individuals would be able to enter the economy where transactions will be made more open, safe, and fair. Real estate trades will ultimately become completely peer-to-peer operations with blockchain-powered networks performing much of the research.
It was for these numerous reasons that HouseAfrica.io, a Nigerian blockchain start-up teamed with the Nigeria Mortgage Refinance Company (NMRC) to develop a land authentication and verification system called propvat.com. The innovative partnership is a massive solution to the land titling issue in the country.
To further sensitize the public on the role of blockchain in the real estate industry, Lightblocks in collaboration with HouseAfrica.io has organized a webinar to discuss the issues surrounding real estate industry in Africa, particularly in Nigeria and the measures taken to tackle these issues. The webinar is taking place on Zoom on the 8th of August.
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Meeting ID: 327 328 1300
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