How Fractional Investing with PropFTX Makes Real Estate Accessible to All?
Have you ever considered investing in real estate but stopped because of the required heavy investments? Let us introduce PropFTX, which is on a mission to democratize real estate.
Well, you ask, how?
PropFTX is a government-recognized fractional real estate platform where you can invest in a share of prime real estate without hefty price tags. It uses AI and blockchain to help investors make intelligent, transparent, and secure investments.
So, whether you are a small investor or looking for portfolio diversification, say goodbye to old barriers; PropFTX is ushering in a new era of inclusivity and innovation in real estate investing.
Booming Real Estate Sector
Many consider real estate as a preferable investment avenue. But, it is restricted to only big investors with significant capital.
However, with the immense growth in the Indian real estate market post-COVID years, the industry is witnessing a tremendous increase in investment opportunities.
As per one of the reports by IBEF, real estate projections show a rise from US$200 billion in 2021 to US$1 trillion by 2030, which signals a thriving real estate market in the future.
Let us look at some of the reasons that are adding to the growth of the real estate sector:
- Middle-class expansion: In India, the middle class is growing rapidly, leading to urbanization. It has led to housing demands and the need for commercial office spaces.
- Growth of Tier II – Tier III cities: With growing urbanization and an increase in population, many new real estate projects are coming up in Tier II and Tier III cities. Because of this, many builders are finding these cities attractive for real estate development.
- Government Initiatives: The government of India is actively promoting infrastructure development, such as highways, airports, railways, and smart cities, creating opportunities for real estate growth.
- Real Estate as a potential investment: More and more people are considering investments in real estate as new opportunities like fractional investment and REITs make way against traditional real estate investing.
All the above factors present an opportunity for investors who wish to invest in the real estate market.
Still, small investors find it challenging to start their real estate investment journey as there is a requirement for considerable investment that not everyone can afford.
Inefficiencies in Traditional Property Transactions
Even though the real estate sector is flourishing, there are inefficiencies which keeps a segment of investors out of the investment game.
Enumerated below are some of the limitations:
- High Transaction Cost: The real estate sector involves high transaction costs. It means an investor must make a considerable investment to purchase the asset.
- Cumbersome process: Investments in real estate involve time and effort. One has to go through various stakeholders and plenty of paperwork.
- Limited Asset Classes: In the current scenario, only a few players dominate the market. The problem of limited asset classes arises because of a high entry barrier and sometimes regulatory restrictions that don’t make real estate accessible for all.
- Lack of Transparency: Investors often face half-knowledge, incomplete information, and hidden costs about a project. It creates a problem of transparency, making investing in real estate a daunting process.
It is where a fractional real estate investment platform like PropFTX comes in, providing investors with a safe, secure, and transparent alternative investment option.
How Fractional Investing is making real estate accessible for all?
With the introduction of fractional investing, new avenues for real estate investment are opening up. It has become possible for investors to co-own high-value assets without bearing the total cost.
Fractional investing means the investor can co-own a share of real estate with multiple investors. They all pool their funds together and invest in an asset collectively.
But it has many other benefits, too!
One of the primary advantages is diversification. An investor can spread their investments across different properties and locations. This method helps lessen the risk and maximize the return potential.
Also, an investor can tailor their choice based on their investment goals, whether rentals or capital appreciation.
In short, fractional investments are reshaping the current real estate investment landscape, giving investors more control over their choices. This approach makes the investment journey more accessible, practical, and fulfilling for diverse investors.
PropFTX – A Way Forward in Real Estate Investing
Mr. Rajeev Chhabra, a visionary real estate expert, founded PropFTX to bridge the gap that investors face in the traditional real estate sector.
He had a vision to create a platform that actively empowers different individuals to participate in the vast world of real estate, thereby overcoming the obstacles they face in a traditional real estate investment setup.
Founder Rajeev Chhabra emphasizes, “At PropFTX, we’re on a mission to democratize real estate, making it accessible to all.”
He also reiterates that the platform allows investors to invest in prime real estate, earn rental income, and enjoy capital appreciation without hefty investments.
PropFTX aims to make real estate investments accessible to all by providing an affordable entry point.
Also, it is committed to creating a level playing field by implementing an AI-powered dashboard that addresses information imbalances. This innovative dashboard assists investors in selecting assets using data-driven strategies, ensuring a more informed and empowered investment experience.
PropFTX also leverages the power of blockchain technology. Smart contracts, which are self-executing contracts built on blockchain, create a transparent record of property ownership. It helps streamline the buying process, making it safe and secure for investors who wish to enter the realm of real estate investments.
What makes PropFTX Distinct?
Following are some of the features that make PropFTX stand out:
- AI-powered dashboard: With the help of an AI-powered dashboard, PropFTX helps guide investors with data-driven strategies and portfolio management.
- Fractional Ownership: Fractional ownership helps investors invest fractionally in different real estate assets, like land, commercial, or residential.
- Transparency: PropFTX is committed to transparency towards its investors. The policy of “no hidden cost ” ensures the investment process is smooth and hassle-free.
- Flexibility and Liquidity: With PropFTX, investors can trade their investment tokens anytime. Unlike traditional real estate, investors do not have to wait to sell their assets.
Range of Investors that can benefit from fractional investing
Investors have different personalities, each with their distinct investment styles and preferences.
Enumerated below are the different types of investors that can benefit from fractional investing:
- Small investors need more investment capital, i.e., investing in a whole property is impossible. Fractional investing makes it easier for them to co-own a share of real estate and enjoy rentals.
- With fractional investing, beginner investors can start their journey with modest investments. Also, they do not have to worry about property management, as the platform takes care of it.
- For some investors, diversification is the key to lessening their portfolio risk. Including real estate fractionally can help such investors spread risks across assets.
- Last but not least are the long-term investors. Such investors make long-term investments. With fractional investing, such investors can accumulate wealth with the power of compounding.
The benefits of fractional investing cater to different categories of investors. It opens up investment avenues for all, making real estate assets more accessible.
Conclusion
To summarize, fractional investing makes it easy for small investors to invest in prime real estate. It also opens up investment opportunities for investors with different personas and investment goals.
With the help of revolutionary platforms like PropFTX, investors can own a fraction of prime real estate assets and enjoy a return on their investments.
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