A property valued at £23million is being sold via Blockchain technology. The Mayfair property is the first of its kind to be sold in this way, providing what the agency calls "an advanced level of security, trust and accountability unavailable elsewhere."
Those interested in the property will submit offers online, generating a legally-binding digitally-encrypted signature. "Acceptance of an offer results in an instant legal contract execution and the entire transaction audit trail and contract are anchored in Blockchain."
According to technology provider, clicktopurchase, 220 assets have already been disposed of through their system.
However, before jumping to make use of the new technology, both buyers and sellers should ensure they are fully aware of the risks.
For sellers, there is the upfront expense of preparing a sale pack before generating any buyer interest - I'm sure none of us want to go back to the days of Home Information Packs.
For buyers there is very little exclusivity protection, meaning that you risk the legal costs of reviewing a sale pack, when another buyer's offer can be accepted at any time. So far the system seems to only allow a seller to offer an exclusivity period after the buyer has put in its binding offer.
Corinne Vincent, Managing Partner at Mirkwood Evans Vincent believes the technology should be treated with caution.
"If Buyers could request an exclusivity based on price, for a period of 2 to 4 weeks (longer for development purchases) then I can see this being of interest to those in the property market.
Otherwise, my fear is that Buyers will get caught up in the thrill of the auction (like some kind of new eBay) and enter into legally binding contracts without adequate legal advice. This could ultimately drive up prices as DIY buyers throw caution to the wind to purchase property at scale."
Update - 04-07-19
Singer Veille, the agent selling this property, are now working with Rightmove to trial Clicktopurchase through their website.