Property Abroad
Blog
RealT aims to become the benchmark in tokenized real estate investing.

RealT aims to become the benchmark in tokenized real estate investing.

RealT aims to become the benchmark in tokenized real estate investing.

RealT is a platform that allows you to invest in real estate for rent from as little as 50 euros, through an intuitive interface. Each "token" purchased can then be sold on the marketplace.

Investing in real estate is often an out-of-reach dream for many people. In light of rising market prices and high mortgage interest rates, it is becoming increasingly difficult to own or diversify your capital. The indecisiveness of banks in recent years is not helping to support the housing market in France, and Meilleurs Agents experts predict that the fall should continue in 2024 (-4%).

Luckily, there is an innovative solution: RealT, a service that allows you to invest in rental properties from as little as €50 using blockchain.In practice, this platform allows you to purchase real estate shares in the US (and soon in Europe!) in the form of digital tokens called RealTokens.

These tokens are issued on Ethereum and Gnosis Chain blockchains, two technologies that provide security, transparency and traceability of transactions. Each token represents a share of ownership of the property and entitles the holder to receive a share of rent proportional to the ownership share.

For example, this small house in the heart of downtown Detroit, available on RealT, should yield a 9.87% net return, according to the service's experts, barring an increase in the property's value over time. Of course, it will all depend on occupancy levels and required rents. Since its inception in 2019, RealT has generated an average return of 10% for its community of more than 350 properties valued at more than $100 million.

Why did RealT focus on the U.S. market first, rather than attacking Europe?

Recommended real estate
Buy in France for 3450000€

Sale house in Marseille 3 734 536,00 $

5 Bedrooms

2 Bathrooms

285 м²

Buy in France for 5900000€

Sale chalets/cottages in Chamonix 6 386 597,00 $

7 Bedrooms

5 Bathrooms

200 м²

Buy in France for 3300000€

Sale house in Grima 3 572 164,00 $

4 Bedrooms

267 м²

Buy in France for 174742£

Sale flat in Saint Laurent-du-Var 226 984,00 $

1 Bedroom

1 Bathroom

51 м²

Buy in France for 2139835£

Sale house in Saint-Rafael 2 779 579,00 $

5 Bedrooms

240 м²

Rent in France for 50000€

Rent house in Antibes 54 123,00 $

9 Bedrooms

10 Bathrooms

600 м²

Because properties acquired there are declared as companies, allowing token holders to officially become co-partners in the property under the law.

If real estate tokenization has become relevant in light of rising interest rates making access to credit nearly impossible, RealT is one of the pioneers in this field with a broad community of 15,000 investors from 150 countries. Because of its success, RealT is now able to offer some properties to its "new" customers exclusively (as it did, for example, with a house in Detroit). Every new property becomes a hunt, and you have to be reactive to succeed in real estate acquisition.

The platform emphasizes some benefits that mitigate risk: income is paid weekly in stablecoins pegged to the US dollar (no risk of cryptocurrency exchange rates). It also allows for automatic reinvestment of earnings - either on another object available on the platform or through the ArmmxDai token, which yields an average of 6%.

But most importantly, RealT offers a secondary marketplace that allows you to sell your RealTokens (ie. equity interests) at any time. Thus, it provides clients with liquidity so that they can invest in real estate for a few weeks, months or years depending on their ability.

Disclaimer: any investment involves risk and can either generate profits or losses. Investors should consider their financial situation and consult with their financial advisors to understand the risks before investing. In addition, past results are not an indicator or guarantee of future results, and no representation is made as to future results.

Supported by RealT.

Comment