Transforming the Real Estate Value Chain: Collaborative Innovation and Co-Operative Delivery
For full Report visit https://www.ipngroup.com/publications
Property marketplaces around the world are broken. It is slow, complex, confusing and costly to buy and sell both residential and commercial property. In an increasingly digital world, the status quo is becoming intolerable to customers, regulators, businesses and public sector organisations who inhabit these marketplaces.
Many of the systemic problems within the various jurisdictional marketplaces could have been fixed well over a decade ago by one large centralised e-conveyancing platform like PEXA in Australia; but this has not materialised in other jurisdictions.
Recent advances in decentralised technology present a new opportunity to fix inefficiencies in property market places. Instead of a single entity taking on the cost and risk of building a centralised platform, market participants can work together to create a decentralised platform. This will enable businesses to keep control of their customer data and business process whilst participating in a shared industry-wide platform that is governed by a member-led consortium, thus avoiding the creation of a centralised data monopoly in the marketplace.
A shared platform will address many of the systemic marketplace problems; delighting customers, being endorsed by regulators and enabling business and public sector organisations in the marketplace to reduce costs and risks whilst creating new innovative services.
“We are always looking for innovative ways that help to make our customer lives easier. We have been actively participating with the Instant Property Network and are excited with the possibility of significantly reducing the home buying process and removing much of the stress that comes with buying new home.” Barclays
In Q1 2019, 40 organisations in 23 countries across five continents collaborated to build and test a global distributed ledger-based property marketplace
Organisations including Ashurst, Baker McKenzie, Barclays, Clifford Chance, AXA XL, Even, Royal Bank of Scotland, Raiffeisen Bank International, Commerz Real, SBI Nihon SSI, SBI Holdings, BBVA, Search Acumen, Shieldpay, Squire Patton Boggs, Davivienda, Swiss Re and SiriVentures
The network was built on Corda and hosted on Microsoft Azure
Participant Feedback:
“The IPN trial has demonstrated the efficiency of enabling multiple parties to work on a single property transaction using a shared technology platform. The addition of distributed ledger technology to residential conveyancing enhances transparency, trust and certainty in a process that for many can seem opaque, inefficient and outside of their control. We believe that the success of the IPN trial represents an important first step towards the digitalisation of the wider real estate sector. To have so many stakeholders participating is a testament to the transformative value that distributed ledger technology can bring to the sector and we look forward to being part of that transformation.” Ashurst
Coordinating multiple players in a simple, secure and transparent workflow has the potential to reduce by orders of magnitude the time and resources required in a traditional Real Estate transaction” Even Construction
See full report https://www.ipngroup.com/publications
