A new investment platform which allows Australians to invest in real estate in the US is set to be officially launched globally.
The fractional property investment platform, RealT which provide access to US real estate investments, plans to include properties both in the US and all over the world in the long run. Investors irrespective of their location would able to own properties in Detroit.
Also, for property ownership and rental income distribution, blockchain technology will be employed.
All properties featured on RealT are officially owned by a Series of a Delaware series limited liability corporation (LLC). This is because, in the United States, a token cannot be placed directly on real estate.
For each Series, RealT issues a specific number of a token, after which there are made available for investors to buy. The platform provides investors with RealTokens that indicate ownership in each investment assets, whereas USD stable coins are paid daily for rental income.
Rémy Jacobson, CEO of RealT, said for a long time now, the process of making investments in the real estate has been very expensive and strenuous. Entry costs are high, the required documentation is complex, and the assets are illiquid.
“There would be a massive change in the industry. That’s why we are convinced that now is the time to make it easier for people to invest in US real estate,” he said.
He gave the assurance that a dedicated management team allocated to each property would be responsible for the process of sourcing for tenants, handling repairs and collecting rent as at when due.
The team would also be in charge of the property on behalf of the owners.