For the first part of the article, please go to:

https://www.publish0x.com/real-world-assets/tokenization-of-real-estate-xjdjwvr

Lofty.ai

Another marketplace which facilitated the purchase and sale of real estate is Lofty.ai. Once the property is listed on the platform, investors can buy part of it; and once it is sold, investors will start to receive return which is equal to (sale price of the property – selling fees) / investor’s percentage in that property. If the property is not sold out until the deadline, the listing will be cancelled, and investors will get back their investments.

Lofty.ai is built on the Algorand blockchain. Algorand has low fees for transfers and high transaction throughput rates.

RealT

One of the biggest players, if not the biggest one, in the tokenized real estate industry is RealT. Minimum investment is a price of a single token for a listed property which can range from $50 to $150. Properties are selected by seasoned real estate investors and managed by local professionals with the monitoring of the RealT team.

Investors, who are paid when the property management service collects rent from the tenants, receive cash flows in the form USDC stablecoin. They can cash out their funds or reinvest them.

Conclusion

Real estate NFTs democratize property investment process. The largest of all financial markets, real estate has been available to institutional investors and high net worth individuals for a long time. Fractionalized real estate platforms are going to change this. They increase liquidity and accessibility in otherwise illiquid market.

These platforms capitalizing on the tokenization of real assets turn real estate (and other high-value tangible assets) into digital tokens, thus making real estate accessible to a larger number of potential buyers. Other advantages of fractional real estate investing include not dealing with the property management issues, and diversifying the investment portfolio, among others.