The big dream house or lands or whatever buildings can now be purchased on the blockchain. Blockchain transforms conventional real estate into digital and virtual real estate. It stores the property ownership records which makes tracking and transferring ownership easy. Blockchain reduces the risk of lost and altered documents and it makes it easier for buyers and sellers to access and verify property information. The smart contracts in blockchain automate the tasks in real estate. In addition to that, Blockchain creates virtual real estate that can be bought and sold online. This paves the way for new opportunities for investment and innovation in the real estate industry.
Conventional Real estate is related to listing and meeting with buyers and sellers. They include investors and other third-party intermediaries to purchase an asset. Blockchain provides a new way to buy and sell real estate. It consists of trading platforms and online marketplaces to sell real estate properties.
Real estate involves third parties like brokers, banks, and lawyers. Blockchain cuts down the intermediaries and lets a direct connection between the buyer and seller. So they can save money spent on commission and fees that has to be paid additionally to the third party.
Real estate is complex and it takes a lot of time to drive an end to the sale. But Blockchain makes it easier by tokenizing the real estate assets and they can be bought and sold with cryptocurrency. It increases sales effectively. All the digital documents are written as code in smart contracts so that the buyer can sign the digital agreement and complete the transaction.
To purchase real estate you require essential investments, especially when the property price is raised. Investors can pool their resources and buy a share of the property but they couldn’t purchase it individually. The shared ownership represents that the investors can share their ownership at any time. It will eliminate their effort of maintenance and lease.
Blockchain is a decentralized network that shares information commonly which is transparent for all the members. This builds trust among the network members and security over the data which is immutable. The peers, buyers, and sellers have confidence in the transaction. There are fewer risks of fraud as the records are tamper-proof.
Apart from the costs saved by cutting down the intermediaries, it also saves other costs like inspections, registration fees, loans, and taxes. These costs may vary depending on the territory the assets are in. It can be reduced or eliminated. Blockchain makes people access the real estate market easily with transparent and secure transactions. Finally, real estate transactions become peer-to-peer activities with Blockchain.