Process of Blockchain:

 

Following are the ways in which the blockchain works in the Real Estate Industry. And we are aiming to adopt the process and technology:

·       Firstly a digital transaction is requested. This transaction can be in any form, a record, a contract, or a currency. In the case of real estate, a legal contract transaction is requested.

·       Then this request is distributed in the whole network of computers (nodes). It means the legal contract is now in the record of every node to ensure trust for the relevant parties and the authenticity of the transaction.

·       Then the nodes process or evaluate the transaction by using the algorithm of the blockchain technology. It helps to ensure a sense of safety for the transaction in the eyes of agents and homeowners. It checks whether a transaction is verified or not.

·       Then this real estate transaction is verified. After being processed and rechecked by all the nodes. This verification promotes trust among the agents and homeowners.

·       After this step, the digital ledger is then updated with this new transaction. As a new block of data.

·       After this block of data is added to the digital ledger, it cannot be deleted.

Thus Blockchain technology not only increases the safety and security of the transaction. But it also increases the speed of the real estate’s process of buying or selling of property for financing or leasing a property. It does not consume the time as it does when the real estate process is done traditionally.

When blockchain technology is used in the Real estate industry then there can be many types of applications or requests of transaction. Namely: legal contract of property buying and selling, financing, or leasing of property.

How Blockchain Impacts Real Estate?

 

Blockchain technology positively impacts the Real Estate process in many ways. Following are some of the ways:

 

 

 

Transparency of Smart Contract:

 

Blockchain technology helps in the creation and verification of smart contracts. It promotes transparency. The most important benefit of the smart contract is it reduces the risk of fraud. All information is recorded in the digital ledger. Nobody can deny it and run away without fulfilling the contract, as an organization to promote the work of agents that will likely increase the goodwill of our agents and our organization when we will adapt to blockchain technology.

Moreover, there are fewer chances of disputes or issues regarding payment among the parties. The smart contract also saves cost and enhances the efficient completion of the real estate process.

Readiness of Transactions:

 

The readiness of transactions and the possibility of the whole real estate transaction process to be held in the blockchain is quite intriguing and interesting for the whole real estate market. It saves time and money for both agents and homeowners. And can be done with the transaction without extending the process with unsettling disputes and the probability of fraud. Our organization is adopting blockchain technology for this smooth process. Blockchain can support the whole process i.e. it can enable the party to submit the offer, then the verification of the party’s ownership or title is also done through blockchain. After this, the acceptance and verification of the offer are also handled through blockchain. Moreover, the process of due diligence, the agreed-upon financing, and the closing of the transaction are all coded in the digital ledger.

This handling of a completely transparent process of real estate buying and selling enhances the trust in agents and brokers of the real estate companies. And hence, people prefer them for future transactions. Eventually, the benefit is enjoyed by the agent, broker, and the company in form of a high amount of revenue. It shows how significant blockchain technology is for our organization to remain competitive in the real estate industry.

Easy Documentation for Financing:

 

The use of blockchain technology eliminates the need of having to provide your legal documents again and again to your agent or broker. So our customers will no longer have to worry about their critical documents. All your documentation will be held. And processed and verified on the blockchain network.  Your financing process will become easy with this facility of blockchain.

Moreover, there will be fewer chances of you misplacing any documents. This shows how a blockchain network helps the real estate process every step of the way to make the process smooth and easy for both agents and homeowners.

Quick Verification of Ownerships of Land/ Land titles:

 

With the use of blockchain technology, our organization can provide you easy access to the stored information in the network where you get the information about any land and its ownership. So no customer has to wait or stay confused about the ownership of any property in their area. They can instantly know about it by logging in to the blockchain land registry.

It will eliminate the chances of illegal occupation or illegal claims of ownership on the properties. It will contribute to almost less confusion in the whole process.

Efficient Leasing Process:

 

Following documents or facilitation are held and provided in the blockchain network:

·       Income verification of the tenants.

·       Checks provided by the employer.

·       Identity verification.

·       It helps to ensure that there is no loophole or discrepancy in the whole real estate process.

Fewer Liquidity Problems:

 

In blockchain technology when any of the digital assets is tokenized to a big number of investors. Then one increases the liquidity. Hence, it provides the investor the chance of easily buying and selling the shares of that particular asset. It shows that the blockchain network decreases liquidity problems. One can easily buy and sell shares which increases the chances of being profitable.

Hurdles in Adaptation of Blockchain Technology:

 

Following are the main hurdles. That our organization or any real estate organization will have to face in the adaptation process of blockchain technology:

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