Well firstly – what is blockchain? The truth is it’s one of those convoluted and complex technological entities that you don’t necessarily need to understand to use. Quite frankly, like most devices we use in the 21st century – does anyone else have no idea what goes on inside an iPhone? However, it is the multitude of benefits that accompany this technology that will see it take over the world over the next year or two. Essentially, blockchain allows us to store blocks of information with some pretty nifty intelligent network, which automatically checks itself every ten minutes. This allows for complete transparency, absolute security and no room for error. Changing the way buyers and sellers interact in the market irrevocably, it will undoubtedly have a pretty serious impact on the UK property market.
- Cutting costs
Anyone who has bought a property will know just how arduous the process can be, requiring a wide range of professionals and a significant amount of forms. This can be inordinately frustrating and can often lead to transactions falling through without anyone really knowing why. With a blockchain ledger the process would be far more transparent – allowing for the buyer and seller to interact directly. Removing the need for any intermediaries and streamlining the entire process, this would help save time and money.
- International purchase
Currently, transferring funds means navigating complex exchange rates as well as tax rates. Ultimately, this means that in any transaction you will lose some money. However, by using bitcoin through blockchain you could simply transfer money automatically, making the entire process cheaper, quicker and far more secure.
- Mortgage process
Particularly in this economic climate, the mortgage process is, sadly, rarely simple. Even if you are convinced of the strength of the application, sometimes it simply isn’t enough. Blockchain may well be able to change this. Using the interface, potential homeowners could create a digital ID for themselves and a property. More than that, by using blockchain your credit history and income could instantaneously be checked, negating the need for trips to the bank, lawyers and estate agents.
- Reducing fraud
This is hugely problematic within the property market. Nearly impossible to control or track, it sees homeowners lose huge swathes of money. This is, simply because there are currently so many steps in the process that there are far too many entry points for hackers. However, the transparency of blockchain should not only reduce fraud, but also obliterate it as every transaction can be checked simply.
- Title deeds
Another exhausting process in purchasing a property, purchasing title deeds can slow down the entire process. However, by using blockchain it can be far easier to check tittle deeds and leaving far less chance for fraud and error. This can not only help speed up the entire process, but also reduce insurance costs.
There seems little doubt that blockchain should help make it far easier, safer and cheaper to purchase property in the UK. What are your thoughts? Contact us on firstname.lastname@example.org