Blockchain can potentially resolve these 5 critical issues in the real estate industry
Blockchain is gaining traction in the real estate industry, which raises eyebrows regarding the justification of this technology’s use in a sector already worth more than $326 trillion.
The Blockchain is far more than a gimmick that sellers of luxury penthouses can offer their ultra-rich clients. It can assist governments, businesses, and regular people looking to buy or rent a home.
Here are five critical aspects that blockchain technology has the potential to improve or completely transform:
1. Property search process
The whole process starts with a property search, and this is where the first problems show up.
Statistics suggest that 93% of home buyers in the U.S. use an online website to find a home. These websites – primarily real estate marketplaces and platforms – connect buyers and sellers and allow prospective buyers to use filters to drill down into the specific criteria of their ideal property. All Web2 applications, though, are not without flaws.
First and foremost, the property information hosted on these websites is frequently inaccurate, outdated, or incomplete. Furthermore, data fragmentation across multiple listing platforms can lead to confusion. Blockchain technology, on the other hand, has the potential to solve these issues in many ways.
Instead of putting the same information about a property into multiple platforms by hand, agents and sellers can just put it in the blockchain database once. Second, data entered into the blockchain is irreversible and cannot be changed. Finally, future platforms might start handling tasks like listing, payment, and legal documentation.