While real estate is the world’s largest asset class, it remains one of the most flawed. Despite an increase in global property development and rising valuations, the real estate industry today—both commercial and residential—consists of illiquid assets, siloed networks and independent systems.
Brokers, lawyers, lenders, title companies, as well as buyers, sellers and lessees are all players in the complex real estate ecosystem. Without trust between parties, each party must maintain their own data, driving up costs and over-complicating the process.
Information on a blockchain is inherently transparent, immutable and verifiable by all peers on the network. It has trust built into the system. With minimized human error and increased data accessibility, each participant can have absolute confidence in the accuracy of the transaction. Well beyond delivering a single source of truth for retail and commercial real estate transactions, blockchain offers the ability to transform the full lifecycle of the investment process, streamline payments and property transfers, tokenize property assets, and digitize deeds and titles. No other industry is as ripe for the transformative impact of DLT.
Access toolkits to help tokenize illiquid assets such as property, real estate funds, and revenue streams, along with opportunities for the creation of new secondary trading markets.
Smart contracts can eliminate the need for third-party intermediaries, connecting disparate participants within the real estate market to services provided by lenders, brokers, and marketplaces.
With digital identity stored on Corda, mortgage lenders can determine creditworthiness and smart contracts can be issued between lenders and owners.
Transfer of ownership can be automated across registries as soon as the transaction gets recorded on Corda by trusted parties.
Real-time payments and fees to property owners, landlords and service providers can be automated on Corda, eliminating manual reconciliation.
Corda lowers the barriers to entering the real estate market by providing the tools for investors to buy and sell fractions of tokens or pool money to acquire property.
So many people have tried to disrupt the property market. Today, there are mortgage, real estate, legal and workflow platforms to name a few. What we still don’t have is a de-centralized workflow platform that enables multiple parties involved in building and buying property to come together and connect. That’s why we built a home buying app on Corda that enables all players in the home-buying process to see the same thing—right from their phone.