Blockchain technology has many real-world applications beyond cryptocurrency, and the real estate sector is in need of disruptive technology.
Blockchain is Forging a Path in the Real Estate Market
Blockchain infrastructure can democratize real estate data across North America, and is the perfect solution to address the demand for secure, integrated and accurate property information.
How blockchain can benefit real estate
Blockchain has proven effective in several industries as a disruptive technology that provides transparency, efficiency and privacy along a peer-to-peer network. In the real estate industry, blockchain can improve access to data, enhance security, lower costs and remove fraud.
“Real Estate property records are notoriously flawed. They contain mistakes, omissions, and are prone to fraud,” says Yeoman. “Creating a decentralized and distributed ledger significantly reduces the ability to misuse such records, and significantly increases data integrity and ease of access.”
A shared ledger on a blockchain can improve the recording of a title or land claims, mortgages, liens, or even “the most mundane, like the color of paint,” he added. “With the ability to record, for prosperity, all relevant information in an immutable ledger and create an insurmountable challenge for fraudsters, blockchain can completely revolutionize the way we record all aspects of real estate and real estate related transactions.”
Once a transaction is recorded on a blockchain, information becomes impossible to change or edit. It’s this component of blockchain technology that would reduce the risk of fraud and falsification of documents for transactions between landlords, tenants and relevant third parties. On a blockchain, every part of a lease or sale agreement would be automated, and payments would be received instantly–even outside of business hours.