Roadblocks on the path to property management

Real estate has long been considered a valuable asset class, but the traditional way of investing in property is often out of reach for many people. Why? Here are some of the main obstacles:

  1. High upfront cost: Buying even a small property requires a significant amount of money for a down payment, closing cost and other expenses. This makes it difficult for the average person to get started.
  2. Illiquidity: Real estate is not a “quick-sell” asset. It can take months or even years to sell a property, making it challenging to access money when you need it.
  3. Limited Access: Many attractive real estate deals are only available to wealthy individuals or institutions, average investors are often left out.
  4. Complexity: Buying and selling property involves a lot of paperwork, legal processes, and negotiations, which can be overwhelming for those without experience.
  5. Lack of transparency: Information about properties, ownership history, and market trend can be difficult to find, making it hard to make informed investment decisions and in most case involve a third party consultant.

These barriers have traditionally limited real estate investing to a selected few. However, clusttr play with tokenization will be breaking down this walls and creating a more level playing field.