DLT or Distributed Ledger Technology is popularly known for its use in cryptocurrencies in the form of Blockchain stated Bahaa Abdul Hussein. DLT has multiple applications and can be used in different industries and sectors. The real estate sector can also benefit by using DLT. Using DLT can help in streamlining real estate processes and offers other benefits too.

Implementing DLT in the real estate sector

The real estate sector is one where there are many transactions occurring. Buying and selling of properties happens through the year with multiple transactions occurring daily. Using DLT ensures these transactions are securely done, and the entire system becomes transparent. Just as in the case of Bitcoin, using a DLT technology like blockchain can help in enhancing security. Indeed, the entire real estate process can be streamlined by using DLT.

Let’s look at how DLT can be used in real estate and the resultant benefits:

  • Transaction records are stored in a ledger that is immutable. It is not possible for anyone to alter or delete real estate transaction records, making it highly secure.
  • The transaction database is not stored in one computer. All transactions are on a network thereby ensuring hackers cannot target the database.
  • The speed at which transactions are done would be a mere fraction of the present time. This is the biggest benefit of using DLT in real estate sector. Paper work is reduced and there are no delays. Further, third parties like brokers are eliminated from the system reducing costs for buyers and sellers.
  • Transparency is a key benefit of DLT. All parties concerned can view the records related to their transaction. They can track the transaction easily.
  • Smart contracts can be used by implementing DLT in real estate. A smart contract ensures the real estate contract is executed virtually without the need for paper work and intermediaries. It improves efficiency, reduces time taken, and streamlines the entre life cycle.
  • Ownership of property can be easily verified if DLT is used.
  • The risk of fraud can be completely eliminated by using DLT.

Conclusion

DLT’s many benefits can be experienced by the real estate sector if they implement it in right earnest. Buyers and sellers can ensure secure and transparent transactions take place. The way the real estate sector works can be transformed in a revolutionary way through DLT. It is important for the sector to come together and look at how they can use this innovation to benefit all stakeholders. Thank you for your interest in Bahaa Abdul Hussein blogs. For more information, please visit www.bahaaabdulhussein.com.