BLOCKCHAIN AND REAL ESTATE???
BLOCKCHAIN 101: Blockchain is a centralized public ledger that keeps a record of all transactions in chronological order. Data inside the Blockchain is protected by a cryptographic hash function making it immutable.
The systems and the critical parties involved would be able to communicate in real time. Authorized personnel would have access to payment processing, occupancy, vacancy, capital expenses, improvements, and other pertinent information included in a real estate transaction.
In my meeting earlier this week, Blockchain was the topic of discussion. We discussed the parties who would most likely use it and benefit from this type of technology. Owners, operator, property managers, regional directors, maintenance technicians, banks, loan officers, the list goes on and on. Some questions I would like to ask the audience are;
1. Do you feel this type of technology for real estate transactions will be safe and/or hack proof?
2. Would you use it for your business?
3. Do you feel Blockchain would provide more transparency for all parties involved?
4. Will Blockchain eliminate high fees– exchange fees, transfer fees, broker fees, attorney fees, taxes, investment fees, etc?
5. Will Blockchain increase the speed of a real estate transaction?
Blockchain and the real estate industry are in its very early stages. I definitely think it will be something we all will be seeing and hearing more about. Please share your thoughts.
Happy Friday,
Fletcher Clardy III, Consultant, Clarity Equity Group