Bitcoin is a new generation digital currency that is already a global phenomenon.
Developed with high levels of security and anonymity in mind, it is touted as a potential replacement for paper money and coins in the near future.
Some industries, including real estate, are capitalizing on this emerging trend by letting customers buy goods via Bitcoin. This is a significant change from the tradition, but it is a process that is rapidly gaining momentum.
1. Miami, Florida
A Miami man recently made news selling his home to Coral Gables for over $ 6 million – about 1,600 BTC.
The steep selling price is enough to make the headlines. Bitcoin has been part of the Miami real estate market for several years. Although it was only launched in 2009, real estate agents, investors and buyers quickly adopted the new cryptocurrency.
Real estate agents in the region are convinced that South Florida is an ideal market for Bitcoin. They cite Bitcoin's global reach as a key factor in generating increased interest and attention for the region. The use of another form of currency opens up properties to buyers and investors around the world, including Asia, Canada, South America and more.
2. Dubai, UAE
The United States is not alone in taking advantage of the growing Bitcoin trend. A developer located on the Isle of Man recently announced plans for a joint residential-commercial development worth $ 325 million. Potential residents will be able to use Bitcoin to purchase their property, with studios starting at 33 BTC and one-bedroom apartments starting at 54 BTC – or about $ 250,000.
Some project units have already been sold currency, but the remaining residential properties are reserved for Bitcoin purchases. Business units are currently not available for purchase through popular cryptocurrency.
3. New York, New York
Investors and real estate agents of The Big Apple also believe that Bitcoin is the way of the future. The Magnum Real Estate team assumes a huge risk in accepting Bitcoin for deposits and purchases of recently converted apartments in the East Village of Manhattan. Known as Liberty Toye, the property represents a huge change in the way we do business over the century.
REITs are looking to diversify their portfolios this year and New York City is an ideal starting point. Known as a business-minded city that is not afraid to take risks, we are already seeing homes and apartments available for Bitcoin. It's only a matter of time before commercial buildings follow their example.
4. Lake Tahoe, California
The popular Lake Tahoe vacation destination accepts Bitcoin, too. An anonymous buyer recently purchased a 1.4-acre property with Bitcoin on a 42-site site. The undeveloped property was sold for $ 1.6 million, or 2,739 BTC, making it the largest real estate transaction driven by Bitcoin by the time it arrived in 2013.
According to reports, the purchase of Bitcoin was originally the idea of the buyer. Although we have not seen any other developments involving Bitcoin in the Lake Tahoe real estate market, the sale shows the potential of digital currency in the industry and paves the way for future transactions in the residential and commercial sectors.
5. Bali, Indonesia
The island of Indonesia is not the first place where one would expect to see a Real estate transaction backed by Bitcoin, but it was actually among the first places to support cryptocurrency.
An anonymous buyer spent more than 800 Bitcoins, totaling about $ 500,000 at the time, for a villa in Bali.
Although residential real estate agents and buyers are comfortable with Bitcoin to buy real estate in Bali,
Bitcoin and the future of the Real Estate
Despite the uncertainty of the Bitcoin market, investors and high-tech agents are – at least for the time being – ready to take a risk on cryptocurrency.
There are many benefits to doing this, but the risks are too high for some to take the plunge.