Business Software India • May 18, 2020
The real estate investment strategy can be both satisfying and lucrative. Risk assessment studies show that investment in real estate is preferable as it holds the same risk as mutual fund investments, though the ROI in Real Estate Investment is higher. Real property can be fastidious, due diligence is therefore critical to sourcing the best opportunities.
Real Estate Investment Trust (REIT):
In retail investment, building trust within a fund is as important as building the proper business framework. Both represent an integrated part of this sector. This trust requires time, research and observation. Fund investments are always subjected to market risks and this business strategy balances the global economy. Market prediction is a traditional, age-old business model. The same prediction works for real estate investments.
But with the help of technology, we are more into scientific prediction. The prediction has less emotion and a more logical background. Artificial intelligence based software can mitigate the predictive market risks. Decisions based on data analysis and deep learning offers technology that will generate auto-suggestions or automated decisions for the investors to avoid investment risks.
Online Real Estate Portfolio (OREP):
Property selection is another approach to data science and machine learning. An AI-driven software will assist the real estate development platform to select the right property based on the geographical, demographic and economic value of a property. The AI research on property selection will certainly boost the price of any property as it will be assured to generate profit.
Flipping is used to describe short-term real estate transactions as well as the activities of some investors in an Initial Public Offering. House-flipping is generally a short-term investment, because the longer the investor owns the home without leasing it to tenants, the more their expenses add up. In a traditional investment sense, small tenure investments always prove to be the less profit-generating solution of funding.
In an online Blockchain-based real estate platform, an Initial Public Offering (IPO), Initial Block Offering (IBO) or Security Token Offering (STO) is a viable solution for those Investors who have the tendency to buy and sell a property for a small tenure of time. They can practice the same business of Flipping their investment in properties as easily as to transfer money from one account to another.
Smart Contract for Property Ownership:
Blockchain is a disruptive technology that can secure data and process it with high speed and frequency. In the traditional real estate market, owning a property is a strenuous process. To buy or to sell any property is more difficult, as money must be gathered to buy the property or to find a buyer that will invest in the real estate. The smart contract, in the Blockchain-based real estate platform, will speed up the buy-sell process of property by multiple times.
Business Software India is the best software development company with a team of top-notch Blockchain developers.
BSI has potential clients who run their stock exchanges on a completely blockchain-based basis. On our five year journey, we have come across an increasing number of customers looking to tokenize real estate and other physical assets to bring more exposure and speed of investment to their company.