The use of cryptos and blockchain technology is growing rapidly. Now, multiple projects are turning to blockchain, but one question remains, “can it help to transform the real estate sector?” The technology to transform this is available, and consumers only have to embrace it with Immobilium.
The approach used by Immobilium in real estate comes with realistic expectations. The company is not working toward disrupting the industry but only wants to provide options to help address the current challenges, and assist customers in embracing change.
Blockchain to Provide the Real Estate with Benefits of Commodities
It is one thing to indicate that technology to help real estate become commodities is already available. But how exactly does it work through Immobilium? It helps to transform real estate in a number of ways that make properties more of commodities than real estate.
The most important way that blockchain transforms real estate into commodities is via fractionalization. This model was employed by other projects well before Immobilium adopted it. It means that real estate becomes more accessible even to those with a fraction of the actual value of the entire property.
Transactions are Concluded Faster
One area where real estate has suffered so much is the speed of transactions. On average, it takes months or even more to have a property-related deal closed. If a deal is closed in weeks, it is considered to be pretty fast. This is one major challenge that transforming properties into commodities can help to address.
Blockchain helps to reduce the processing time significantly, which is a common feature in commodities trading. You can also trade commodities from anywhere all over the globe. According to the company founders, Sasha Poparic, Nenad Mitosevic and Lazaros Georgiadis, these attributes, plus speedy completion of transactions, are the most important pillars of Immobilium’s success.
No Geographical Limitation
Most real estate investors are closely located to their investments. It is considered a convenience, especially when handling the paperwork, which requires regular movements of both sellers and buyers. Proximity also allows them the opportunity to monitor the assets and transactions, which gives them a great sense of security.
Nowadays, it is pretty easy to buy real estate from anywhere. Blockchain makes it possible for people to buy and sell real estate and transfer ownership from anywhere across the globe. With just a single transaction, which is closed in seconds and utmost minutes, you can acquire property in Madrid, Rio de Janeiro, Portugal or other property markets.
Blockchain Offers Greater Safety and Transparency
For most people, trading commodities is considered safe because it is strictly regulated, but transactions also expose investors to major challenges. However, blockchain-based transactions are more secure because they are transparent and immutable.
The technology to help change real estate into commodities is also available. Blockchain allows fractional ownership, enhances security and transparency and deletes geo-limitations. When customers open up to properties as commodities, it will open doors for additional liquidity. New projects, such as Immobilium, are working towards this goal.