Everywhere you look, technology is penetrating our daily lives. Even so, some industries are resistant to change. Instead, they prefer to keep their old behaviors. The real estate industry is a prime example of this. Buying property is a slow and disorganized process; it is plagued by intermediaries, delayed communication, and unnecessary repetition.
Fortunately, automation is taking over the world, and Propy is bringing this technology to the public via the property purchasing process. With the help of automation and blockchain technology, the whole process of buying property on Propy is transparent and straightforward.
Step 1: Property Choice
The process begins with a buyer finding a property on the listing platform. Just like Zillow, Redfin, and other real estate listings, Propy aggregates data from MLS.
All you have to do is to go on Propy, select your desired property, choose an agent, and make an offer.
Step 2: Purchase and Sale Agreement Generation
Propy automatically generates the purchase and sale agreement, and it performs ownership verification through a third party. The Offer gets signed electronically by all participants. Once all parties provide their signatures, the purchase agreement gets encrypted, and it is recorded on the blockchain.
Step 3: Additional Documents
The title agent uploads the title report so that both the buyer and the seller can sign it online.
In addition to the title report, the seller’s agent uploads disclosure documents so that the participants can sign them.
The title agent uploads separate estimates, called the Settlement Statements, to the buyer and the seller. After both parties sign them, the title agent provides an escrow bank account, thus avoiding the risk of e-mail and wire fraud.
Step 4: Payment
The buyer has fiat and cryptocurrency options for payment. After the payment form is automatically generated and the amount is processed, Propy marks the payment as received on the smart contract.
Step 5. Title Deed
At this final step, the buyer receives the officially recorded title deed with the blockchain address on it. The records are kept at the municipality and on the blockchain. Because the deed is recorded on the blockchain, the buyer has an unhackable proof of ownership.
Since everything is recorded on the blockchain, there is no opportunity for fraudulent behavior in the transaction process. Additionally, with Propy’s automation features, sellers and buyers save money on fees.
The real estate industry has put off this evolution for years. However, with Propy, this trend is about to change. As technology develops, the process will only get better.