Real estate is a traditional industry that has not undergone much change in terms of how transactions are handled. However, blockchain technology has the potential to revolutionize the way that the real estate industry works. To stay competitive, real estate organizations will need to take another look at their business models.
Trustless Transactions with Smart Contracts
Blockchain technology ensures that trustless transactions can be executed. With the use of smart contracts written for specific cases, agreements can be performed automatically. Smart contracts can be written so that transactions are completed when the milestones are reached. Following the execution of the deal, documents can be stored on the blockchain and accessed by relevant parties when needed.
The Role of Realtors
Automation-based and blockchain-based platforms can complete many of the jobs that realtors used to do. However, there are still risks when using this tech. So, the role of realtors is not under threat because a human element will always be needed.
Benefits of Blockchain Technology
The implementation of blockchain technology can bring many benefits to the current world of real estate transactions. For example, it can provide the capability for people to purchase real estate with relatively small amounts of capital. It can also allow governments to move their paper-based systems to smarter systems that time-stamp and record transactions. When it comes to recordkeeping, more intelligent systems are certainly possible.