Reasons why this NFT house sold for $175k—the use cases of real estate NFTs
Despite real estate typically has a good history, less volatile than the blockchain market, the real estate company Roofstock combined the two fields by selling a tokenized version of an NFT house in South Carolina on OpenSea for just $175k just last week.
- Roofstock partners with Origin Protocol to create real estate NFTs.
- The real estate company sells NFT housing property for $175k on OpenSea.
- This NFT house enables ownership of a physical house in South Carolina.
How This NFT House Sale Began
Judging by a lot of positive feedback, it looks like NFTs have found a home in the real estate market. Nevertheless, how did this sale begin, and what are the critical perks?
Roofstock began creating real estate NFTs after raising $1.9 billion in a Series E funding round this year. Afterward, the real estate company joined Origin Protocol to launch a blockchain project representing transactions as NFTs.
Early this month, the teams launched NFTs in return for physical real estate, cutting seller’s fees by more than half when comparing the costs to traditional standards.
Interestingly, following this NFT house selling for $175k, Roofstock found that real estate that leverages NFTs gets its value from the property rather than the actual digital gold itself.
The Perks of Real Estate NFTs
Although the blockchain market has suffered from a recent crash and ongoing bear market, many investors fail to remember that NFTs are much more than profile pictures and digital art.
Anyone can buy NFTs from RoofStock on OpenSea, to receive ownership of a physical house anywhere the real estate firm has listings. All users need to do is scroll down the marketplace and click on their favorite one before purchasing with crypto.
The top use cases for purchasing an NFT house include reducing transaction fiction, democratizing ownership and streamlining access.
“Tokenizing real estate creates frictionless transactions, simplifies the process, and makes information more readily available. The whole ecosystem exists for one purpose: so the buyer and seller can have a trusted relationship,”said Geoffrey Thompson, the chief blockchain officer of Roofstock in a press release.
Roofstock proves that NFTs officially have the ability to represent real estate and loans on the world’s largest marketplace.
Not forgetting, for just $175k, this physical house bought for an NFT includes 2 bathrooms, 3 bedrooms, and 4356 sq ft of land.
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