With the rapid emergence of cryptocurrencies and blockchain technology, new solutions and opportunities are arising in every industry across the globe, real estate included. Currently people are paying an average 6% commission to their real estate agents to buy or sell their homes. 6% of a $200,000 home would be $12,000 in commission alone!
DEEDcoin, a new emerging cryptocurrency based out of Melbourne, FL., believes these fees to be unfair and instead has created a tokenized and decentralized platform to disrupt the entire real estate industry and give control back to the property owners. With an already usable network and infrastructure and partnered brokerages already located in 140 cities across all 50 united states ready to help you buy or sell your home, and international expansion to 5 countries within the next year, DEEDcoin is perfectly positioned to set the pace for how the new real estate market will perform.
DEED for Sellers
DEEDcoin is not for buying or selling homes per se, rather DEEDcoin’s purpose is to reduce the commission to the real estate brokers from 6% to as low as 1% on the purchase or sale of any property.
“DEED simply replaces the way you find your next real estate agent.”
Instead of looking at overpriced real estate brokers, customers can go to DEEDcoinHQ.com to find their local and licensed DEEDcoin agent with fair rates as low as 1%, all while getting better service than from traditional brokerages that cost up to 5X as much.
Each DEED token is worth 1/10th of the value of the property being sold. Thus, every 10 DEED tokens saves 1% on the commission, with a maximum of only 50 DEED tokens needed to hold onto 5% more equity; reducing the traditional 6% real estate commission to DEEDcoin’s 1% fair rate.
• Alice buys 100 DEED during the ICO.
• Alice uses 50 DEED to sell her home in San Francisco for $1 million.
• Currently the average commission on that sale would be 6%, or $60,000 out of pocket, but with DEED Alice only pays 1%, or $10,000 and saves the other 5% holding onto 99% of the sale. Saving $50,000.
• Alice saved $1,000 per DEED.
DEED for Buyers
DEEDcoin also gives buyers the ability to receive rebates on any properties purchased using DEED. Using DEED tokens buyers can convert the traditional 3% commissions into closing cost rebates, reimbursing buyers up to 2% on the value of their new home. With each DEEDworth 0.1% commision, only 20 DEED tokens are needed to get the maximum rebate for property purchases.
• Bob buys 20 DEED tokens on an exchange.
• Bob uses those 20 DEED to buy a $750,000 home.
• After closing, Bob receives a rebate of $15,000 for using DEED.
• That’s $750 per DEED back on Bob’s purchase!
“By taking all real estate commissions, making them tokens and giving them to the people we let the free market set the price of real estate services.”
Matthew Herrick – CEO
Real-estate consumers don’t really need to own a lot of DEED tokens to receive the benefits, buying in 50-300 DEED during the initial token sale ($1.50) could potentially save thousands when buying and selling your next house.
A major future venture of DEEDcoin is their plans for a Gen3 Blockchain MLS. Currently all property is listed for sale through MLS (Multiple Listing Services) by licensed agents, which is then posted to third party services like Zillow. Almost everyone that uses these services can agree that they are outdated, slow, error-prone, and expensive. The NAR (National Association of Realtors) in the U.S. licensed the rights to these MLS systems only to agents, forcing agents to pay membership dues to the NAR [for the data that they input], state, and county organizations. The heightened membership costs, and customer acquisition costs are then recouped later through higher commissions. Without NAR controlled MLS systems, all these costs reduce.
DEEDcoin plans to create an open MLS system that will allow for customers to access the houses for sale directly, receive all agent information, and see historical data. Meaning customers will not have to see outdated and misinformation on third party sites such as Zillow or Trulia anymore and use the DEEDcoin platform instead.
DEEDcoin themselves have no plans to build a third generation blockchain, however they will be looking into other groups that already have.
“DEEDcoin plans to evaluate the options that are most stable and can transfer the most data. Once the best option is determined, DEEDcoin will upgrade the DEED ERC20 token by switching it to a new platform at a 1:1 ratio.
“Blockchain can store history forever in an unchangeable format. Property history would be accurate based on sales such as: price, date of sale, improvements made, zoning changes, ownership, and hidden damages to properties not known, because the property had already gone through a new listing. This solution would assure that customers looking to buy a property would get a full picture and not the limited view that listing sites would choose to show.”
Each DEED token is worth 0.1% of the value of the property being bought/sold. Thus, every 10 DEED will save 1% on the broker commission, with a max use of 50 DEED tokens when selling (5% savings on commission) and a max use of 20 DEED tokens (2% rebate on commission) when purchasing a new home.
- DEEDcoin will release 70 million tokens, plus bonuses.
- 30 million DEEDcoin tokens (DEED), will be sold during the initial token sale and will be usable immediately upon sale through the DEEDcoin Network for investments under 1,500 tokens.
- 40 million DEEDcoin SAFT tokens (DDS) will also be sold, with bonuses, as a security for purchases over 1,500 tokens ($2,250).
- *DDS tokens will convert via smart contract to DEED tokens in 2018 when the network meets conversion quota.
DEEDcoin is also compliant with KYC and AML. Additionally, the SAFT, which is a security, complies with necessary Accredited Investor verification for issuance under Rule 506(c) of Regulation D.
- *DEEDcoin has chosen to issue the SAFT token to purchasers who wish to purchase more than 1,500 DEED tokens ($2,250) as a security, issuable only to accredited investors pursuant to Rule 506(c) of Regulation D.
- All DEEDcoin members hold real estate licenses in the states that they do business, assuring thorough background checks and local government compliance.
- DEEDcoin is currently patent pending (App. No. 62/552,038) and copyright protected.
Find more information at https://www.deedcoinlaunch.com/