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Now You Can buy Real Estate with Bitcoin

Learn how blockchain and bitcoin make for an alternative approach to home buying
By Sam Kamra, mortgagecalculator.ca - REW Market Pro customer Oct 9, 2020

BTCHome.ca is a Bitcoin division of Real Estate Bay Realty (est. 2011), a licensed and accredited Real Estate Brokerage based out of Toronto, Canada that is now accepting Bitcoin as a payment for any Canadian Real Estate, including those properties that are listed for sale on MLS® in Canadian Dollars.

Reasons for Purchasing Real Estate with Bitcoin

Bitcoin is an absolutely scarce store of value asset as well as a highly secure payment method, giving the holder the ability to transact without using third party intermediaries, such as the banks. Real Estate Bay recognizes that Bitcoin has become a permanent feature of modern society, just like the Internet.

Bitcoin, however, is a relatively new asset class, which is going through an ongoing process of price discovery, resulting in high levels of volatility. Bitcoin price follows a pattern of extreme bull and bear cycles and while the price of Bitcoin will stabilize eventually, for the time being these cycles appear to be unavoidable.

Bitcoin bull cycles are initiated with Smart Money flowing in, buying up Bitcoin below the fair market value, and then transforming into parabolic bubbles that are fuelled by Dumb Money pouring in for purely speculative reasons – Fear of Missing Out (FOMO) and eventually the price collapses. The timespan between the bull markets is known in the Bitcoin community as Crypto Winters, which typically last a few years.

Bitcoin holders are therefore stuck with very limited options:

-        Hold Bitcoin throughout the full multi-year duration of the cycle, which is accompanied by “Bitcoin is going to zero” narrative

-        Cash out into USDT (Tether), which may or may not be backed by any real assets

A much better alternative is to convert Bitcoin directly into real estate so that you’re not stuck holding perpetually depreciating dollars and even riskier USDT (Tether). Real estate provides a safe way to protect your wealth by storing it in a stable asset that is constantly appreciates against the dollar.

Process of Buying Real Estate with Bitcoin

For everyone in the Bitcoin community accepting Bitcoin as a payment is a no-brainer. Majority of Real Estate, however, is listed and priced in dollars with sellers oblivious of the existence of Bitcoin. BTCHome.ca bridges this gap by enabling a buyer to pay with Bitcoin and simultaneously issuing an equivalent amount of dollars that is then used as payment upon closing of the Real Estate transaction.

Since Bitcoin is an extremely volatile asset, BTCHome.ca provides a rate freeze window for the Bitcoin payment to complete. From the time the invoice is issued and before its expiration, the rate is frozen and the exact amount of dollars is provided down to the penny and then the transaction goes through as a regular transaction. The Seller, the Listing Agent and the Listing Brokerage don’t even need to know what Bitcoin is – for them it’s a regular dollar-denominated transaction.

Buying real estate with Bitcoin is the safest way to protect your wealth, improve your lifestyle, as well as give you the much needed peace of mind between the Bitcoin bull cycles.

 

Contacts

Alex Prikhodko

Founder and CEO

Real Estate Bay Realty, Brokerage

btchome.ca

mortgagecalculator.ca

[email protected]

416.477.2068

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