Planning to Be a Real Estate Market Leader in BlockChain Technology? Join The Leader
Colorado HomeFront and Hive Real Estate Services.
Do you want to get inducted into a Real Estate Organization as an agent?
Are you finding a Real Estate Organization that is keeping well towards the new technology adaptation?
If these questions resonate with you, then this article is for you. “Coloradohomefront.com” and “HiveRealEstateservices.com” are the main and sister company’s names respectively. We are Co-Marketing advertising groups for the agents. This organization is operated for the benefit of the agents as it is operated by the people who are real estate agents. Our organization’s objective is to recruit more agents. And adopt the new technology and trends for gaining the following benefits:
· Collaborate and productively work with us. To collect funds that will help us in our marketing campaigns.
· Help us to gain the market share and remain competitive in the market. In other words, helping one another to flourish in the Real Estate industry
· Getting benefits of having more leads. As the agents share the information with one another.
· Keeping yourself and the organization updated about the recent trends. And new technology i.e. Blockchain.
· Establishing a nationwide network. That will be able to cut costs for both the associated parties i.e. Agents and homeowners. It will be possible by using the new blockchain technology. And providing services based on this technology.
Blockchain in Real Estate:
Blockchain is often used interchangeably for Bitcoin or cryptocurrency which is not correct technically. In reality, cryptocurrency or Bitcoin uses blockchain as a technology to operate the transactions. Blockchain is trustworthy technology. It acts as an online ledger or record of transactions that are distributed in a wide variety of computers for easy access and to keep track of digital transactions. The transactions made in the blockchain network are not changeable and it cannot be deleted.
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:
· In any industry, large-scale transformation is the biggest hurdle. One can ever face in the revolutionary period of the industry. Our organization will have to invest time, money, and efforts to transfer the whole business in the digital mode. It will be a challenge.
· Lack of data or standards proves to be the biggest challenge. If any organization or our organization does not have proper or enough data then the blockchain network will be put to hold. It can only continue if the proper data is recovered or extracted from the past years of business.
· In case of resistance of government to adopt blockchain in a national and international level can result in less normalization of the blockchain technology. So the government had to approve and adopt blockchain technology. So that other real estate companies can adopt it due to increased security and trust after the government’s approval.
· There is a lot of training needs in the real estate organizations of the industry. Organizations have to invest more time to learn. And train all the agents and brokers about the new technology to work effectively on it. Without learning and training, the agents will be unable to shift from the traditional mode of work to the new technology of blockchain.
Future of Blockchain:
If our organization and other organization in the real estate market are able to adopt blockchain technology effectively, then the following is the future of the real estate industry:
· Direct one on one connection of parties involved in the digital transaction.
· Increased level of trust while working through blockchain. Hence, more chances of sustaining in the market and earning more profits.
· Blockchain can act as a record-keeping platform.
· Increased efficiency of every smart contract or transaction.
· Quick conversion into cash.
· The use of blockchain reduces the additional cost and fees of the transaction.
· Reduces situations of fraud and reasons for litigations.
· Enables the company to stay in the market and to fight to win the market share. The motto of going with the changes will be highly beneficial for the real estate business.
Thus, all real estate companies must accept the fact that there is a great scope in adopting blockchain technology, or else they will get lost in the past. With the rapid digitalization, a huge impact was on the marketing and business industry. Every business or marketing agency or individual had to adapt themselves and their business into the new mold of digitalization, so in the case of blockchain as well.
Real estate industries had to mold themselves into blockchain technology to stay alive in the market and competition. The adaptation is equal to their survival.
This revolution can take the real estate industry. To new heights as it will offer great opportunities for expanding their business and getting global and international clients. Hence, this transformation will come with greater benefits and profits.
Moreover, this new technology will fully eliminate the chance of biggest corruption i.e. Illegal occupations of land and other property disputes as the blockchain network will prove to be a complete history of all lands and property. That can be accessed whenever one wants without any restrictions or prohibitions from banks or any relevant party. Everything will be open and clear. Confident decisions will be made due to this transparent system.
Hence, if you are an agent who wants to work with our organization towards this revolution of new technology after reading the blockchain process, benefits, and scope. Then surely our organization is your desired place to apply and be a part of our team and join us in the journey of success.