Blockchain changed the way that real estate market is viewed.
Enhancement in processing speed
Blockchain has made possible faster processing of agreements, contracts, and negotiations. While data is available to all parties, it is the speed that counts when hunting for the perfect property.
Another advantage of Blockchain is the ease of integration. Most agents and customers don’t need to interface with core Blockchain tech to gain the advantage of faster processing. They can simply plug-and-play and explore all options before selecting the right one.
There are multiple players that get involved in the simple sale of a home. That’s where Blockchain comes in and connects agents over a distributed network. The accounting for the transaction is kept secure, and the transaction occurs over a transparent system.
A $300,000 home can easily get sold with fees less than $3000, instead of having to lose $20,000+ to real estate agents and third-parties. There is an immense benefit for saving time on processing, as well as complete decentralization in technology.
Introducing transparency and security
Blockchain ensures that the distributed ledger system works to everyone’s advantage. There is complete security in having data spread across the Blockchain network, with access being provided in a secure manner.
The added security improves adoption, which has been one of the biggest drivers in the industry. Owing to the fragmented nature of the industry, especially going deeper into the cities, Blockchain offers a sense of security. Customers are eased as well, knowing that their information is safe and secure within the system.
There are many cases of forgery and fake documents being prepared during the sale of a home. That’s where Blockchain comes in and allows complete transparency within the transaction. No longer do buyers and sellers have to resort to manual processing and paperwork. Blockchain can integrate various systems into one network and facilitate all interactions.
Delivering the benefit to the buyer
Since Blockchain has decreased costs and increased efficiencies within the real estate space, it has created multiple benefits for the buyer. These result in cost-decreases and better valuations for all formats of properties. You don’t have to pay extra just because a property is associated with a certain real estate company.
This applies to renting too. E.g. when customers are searching for High-rise apartments for rent in Miami, FL, they can notice rents being in their favor as well. While the whole market becomes consumer-friendly, the industry benefits as a whole. Renters, buyers, and sellers can benefit from the immense savings that arise from faster processing and cheaper costs. Added to that, transparency makes the transaction a no-brainer for a skeptic or someone who’s hesitating to rent a particular space.
Better contracts through better technology
Smart contracts are becoming increasingly popular in the real estate space. Essentially, smart contracts are designed to be self-executable when all conditions are met. There is no need for additional formalities and the whole process is pain-free.
The best part about smart contracts is the customization capability they bring. You can easily activate key parameters within the contract, that can automatically kick-in at a particular point. The outcome is controlled and always specific to the transaction. That’s one of the biggest benefits to using smart contracts in these situations.
Everything from mortgage loans to smarter insurance is being disrupted by smarter contracts. When buyers and sellers are within one distributed network, the Blockchain can truly get activated. There is also a resounding support coming in from all stakeholders in the industry, who want to see more paperless transactions.
Better liquidation of assets
Assets can be moved that much faster, making the market more favorable for quality investors. Blockchain can help you sell your assets more efficiently and connect you with a large array of customers. This can enable the faster movement of previously immovable assets, and help you sell older properties as well.
Liquidation gives buyers the power to invest further and grow the real estate space as a whole. Homeowners can become liquid much faster and do so safely. With the enhanced capabilities of safety, security, and transparency, homeowners have more access to cash than before. Technology has enabled the movement of assets at a much greater level.
Introduction of the new pool of homeowners
A new pool of homeowners is emerging from the ground up. These prospective buyers are generally younger and rely on technology to help them get secure homes fast. They’re attracted to the prospect of quicker transaction times and lower fees when buying their first homes.
While many young people prefer renting over buying property, Blockchain will open up new doors for this generation. As costs decrease, deals get that much more favorable for younger owners. This gives rise to a new pool of homeowners that flood into the marketplace over time.
This also broadens the real estate space, making it more competitive and niche-oriented.
Blockchain has the capability to create a new market within the real estate space while cutting costs and increasing transaction efficiency. The technology has been a boon to space, more so than AI or CRM.
Blockchain has been on the minds of everyone in the real estate space, from the consumer to the seller. There are multiple advantages to having Blockchain be integrated into your real estate business, many of which stem from increased efficiencies.
Companies that are more efficient, tend to offer better consumer value at the same time. Blockchain has truly changed the way that homeowners view the real estate market in the country.