August 18, 2022
The real estate industry could have three primary benefits from tokenizing real estate assets, such as:
Look at these huge reasons to implement blockchain more closely in your real estate business.
Reduce associated costs and processing time
Real estate transactions involve multiple people in different roles, lengthening the process. Blockchain technology can automate various processes by creating smart mortgage contracts that are approved as soon as all documents and requirements are fulfilled, rather than making the clients wait months for approval and going back and forth with brokers, banks, lawyers, etc.
Protect buyers and sellers from fraud
The ownership acts are usually made of paper, which we all know can be damaged, lost, or subject to fraud. The legal process of transferring ownership can be long and complicated and require a lot of money. Blockchain technology can be a great solution, as all records are tracked on an immutable ledger that can act as a trusted and reliable source of information for both parties to a deal.
Tokenized fractional ownership
The allure of investing in non-traditional assets, such as tokenized ownership, is that could reduce the entry threshold for new investors by allowing people to release a custom percentage of their home's equity in the form of tokens that could be traded on the market. This way, we increase liquidity and give people different ways to benefit from their property or investments.