The Real Estate Insitute of Queensland (REIQ) has partnered with a local startup, Igloo to launch a blockchain-based tenancy agreement platform, according to a ZDNetreport Sept 15.
The new partnership will, in the long run, see a significant aspect of real estate deals in the Australian state, Queensland, pass through the blockchain in a bid to improve transparency and maintain the integrity of transactional records.
Precisely, the tenancy agreement, which is a piece of document binding real estate owners with their tenants via a contract, will now be executed as digital smart contracts on a blockchain-powered platform.
REIQ general manager Josh Callaghan reportedly spoke about the new shift to blockchain for his agency, expressing confidence that using smart contracts will allow them to provide “a simple and secure transaction for each tenancy agreement to leverage the benefits of the technology as an irrefutable source of truth.”
Interestingly, Callaghan also mentioned that he has always know that blockchain technology will hold a lot of promise for the real estate industry and was happy to finally find an application for the REIQ.
He further highlighted other potential benefits of embracing the new technology, saying,
"This solution has been designed to reduce the manual handling of contracts from the property manager-side while streamlining the process for tenants and giving both parties much better visibility over the agreement."
On a final note, Callaghan reportedly said that the new partnership would also allow the REIQ to “build out the functionality to handle payments of bond and rent, plus facilitate other activities related to the property such as routine inspections and maintenance."
Meanwhile, in another report relating real estate with blockchain technology, Stmarket.co reported in July the completion of the first blockchain-based tokenization of a real estate property in Luxembourg.