Real Estate Tokenization: Own Property Anywhere
Real estate industry disruption is here with us and diving in to it is one of the ways you can easily own a property anywhere in the world. If you have ether thought of buying property or part of it, asset tokenization offers you the chance. What’s more; real estate tokenization backed by the blockchain technology is highly transparent and secure.
Commercial real estate has been riddled with so many bottlenecks that investors have shied away. The steps and number of parties involved in the traditional real estate are just cumbersome and blockchain is about to change that and enable more invest in the sector.
Automating the Real Estate Process
Blockchain is transitioning the industry through automating simple tasks that have slowed down transactions in the industry. Better transaction processing is important in the disruption of real estate. The entry of security tokens improves on transaction speeds, enhances security, efficiency and transparency.
Once real estate assets are converted in to digital tokens, owning property anywhere across the globe becomes easy. The beauty of the process is that you are not limited to the fraction of a property you can own; this depends on the amount you need to stake up in the industry.
Security tokens are compliant to the industry’s regulation which gives the investor additional trust to invest. Blockchain will store all your transaction data through a time stamped block. The programing is highly secured and leaves no weak points for intrusion for purposes of altering data or records.
How to Own Property Anywhere
Since blockchain is a digital ledger with many servers spread across the globe, it impossible for an individual to control or alter records. Secondly, you can access your transaction details from anywhere in the world as long as you have an internet enabled gadget.
Records update themselves automatically and this ensures that there are no disputes in asset ownership. All your digital tokens or “shares” are securely stored and this eliminated the tedious and manual paper work in the traditional real estate sector.
Reducing the Trust Costs through Asset tokenization
Trust can be very expensive especially in the traditional real estate scenario. Maintaining your own paper work is not a surefire way to claim a property. These documents can be altered and you start the time wasting court process.
With real estate tokenization, you do not need to hire the services of a lawyer due to disputes. All transactions are blockchain stored and can be accessed with your consent. This cuts down on the time it takes to attend courts and numerous appeals that might not determine the true owner of the property or a fraction of it.
Once real estate systems are automated and optimized, it becomes easy to confirm tittle claims or what percentage an investor is supposed to receive after property sales. The processes are well documented and data is shared among participants and the transparency makes it safe to jump to the industry.
Adding Liquidity into the Real Estate Market
In a tokenized economy, exiting the market is easy compared to the traditional one. This makes the systems outdated. With blockchain, you do not have to hold on to your tokens or shares against your will. You have the freedom to cash them out and invest elsewhere; a fact that adds liquidity into the industry.
The good news about digital security tokens is that they can be traded and you do not have to wait for days for the transaction to complete. All you need is your smartphone and you are ready to sell your tokens to anyone across the globe at the comfort of your home.