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Many industries have discovered the positive contribution of Blockchain technology in the century. Real estate being the leading asset class agency in the world has been one of the industries benefiting from this idea.

The real estate industry deals with residential, commercial, agricultural and forestry land; the global real estate value is estimated to amount to $217 trillion. Blockchain is a database that is programmed to record all financial transactions in an organization.


Besides, blockchain records all transactions that occur within the industry or corporation and assures the data is not accessible to the third party, especially when checking whether the transaction was valid or not.

Blockchain technology for years has been closely associated with cryptocurrencies e.g. Bitcoins, luckily enough globally people have slowly incorporated its use in land and assets registration as well as management. In the real estate, blockchain has been very vital in land transactions and delivery of services through electronic.

The Blockchain technology usually underpins smart programmable contracts that self-execute and complete transactions when combined with the blockchain registry.

For instance, the vendor’s account can be automatically receipt funds from the purchaser once the transaction has been made. Besides, this will help speed up the property registration and transfer process, hence eliminating the registration gaps likely to be evidenced.

Additionally, the consensus data saved with the blockhain cannot be changed.

The property search process has been easy, this is because all the data has decentralized on a single database.

The data is peer to peer distributed and the individual listed real estate company is the one solely authorized to control their data which is encrypted hence making accessibility of the data easy and cost effective to both the buyers, brokers, and seller in the past.

The evaluation process of the real estate has been the biggest beneficially with the introduction of blockchain in the industry. Formerly, when it was tiresome whereby people used to carry paper documents to prove identity; a process which was characterized to be full of errors while involving third party individuals.

Blockchain technology has impacted positively by democratizing properties in the real estate. It has made it possible for potential investors to invest in this industry. This will be possible because there are tokenization and crowdsourcing of the real estate data.

Tokenization is a process by which any property owner may decide to offer digital tokens representing the total share of the property in the real estate. Tracking such transactions in this industry will be immutable making it simple to detect fraud and act accordingly so as to come up with better measures to curb such incidences in the future.

The use of blockchain is an entirely online process which is efficient and enhances real estate data security while reducing chances of manual errors caused while entering data.

Nevertheless, there still lies challenges with the implementation of blockchain application within the real estate industry. To aid in solving this menace, there should be continued use and in-depth understanding of the decentralized blockchain technology.

techinplanet staff

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