March 31, 2023
By Sharan Kaur Phillora
Homebase listed a property-backed NFT on Solana, allowing consumers to invest in a tokenized house last month. And closed out the tokenization of its first single-family rental property, according to an official Tweet.
Here’s what we know:
Homebase launched its platform in beta in the middle of the month and went public on February 28th. Individual holdings offer fractions using NFTs issued through a Rule D securities token offering under the Securities Act.
Without the need to purchase an entire home, users can buy fractions of a property through NFT starting at as little as $100. The first property from Homebase in McAllen, Texas, consists of three bedrooms. The house has a total value of $246,800, but it is divided into 2,468 units.
But today, the property sold out. The total amount raised includes $11,800 set aside “to account for maintenance and other issues,” a spokesperson told Blockworks in a statement.
Users can invest in single-family rental properties through the platform to begin receiving monthly payments in USDC, according to a statement issued by the Block. Each home is owned by a limited liability company linked to Homebase NFTs.
In the particular case of the house in McAllen, the internal rate of return (IRR) is projected to be 10.13%, which is held by the holders in the stable linked to the dollar, USDC.
The first round was hosted on OpenSea, with RealT imposing “heavy restrictions” around the float of the initial fractionalization offering, according to Remy Jacobson, the co-founder at RealT and one of two chief executives at the businesses. And another round will follow later, the details of which are yet to be shared.
About the author
Sharan Kaur Phillora’s thirst for knowledge has led her to study many different subjects, including NFTs and Blockchain technology – two emerging technologies that will change how we interact with each other in the future. When she isn’t exploring a new idea or concept, she enjoys reading literary masterpieces.