An Oakland-based homeowner is selling his abode in exchange for cryptocurrency. Alec Wang has put his four-bedroom, two-bathroom Bay Area home in Northern California on the market for approximately $648,000 USD — and says bitcoin, litecoin and indeed most other forms of crypto are all welcome.
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Cryptocurrency’s Many Real Estate Uses
Cryptocurrency home sales have become far more common in recent years. Sites like bitcoin-realestate.com are now frequenting the World Wide Web to offer digital currency enthusiasts in the U.S., Canada, Australia and elsewhere the opportunity to get their hands on new homes in exchange for a few digital assets.
Despite the recent price drops of Red Tuesday nearly two weeks ago, the craze doesn’t seem to be dying, and many home owners are willing to take the necessary risks to garner virtual coins.
In early January, Bitsonline reported the story of a Seattle man who had become the first person in his area to purchase a home using Bitcoin Cash. Cary Kuo, a 23-year-old engineer and recent college grad, had spent months putting all his extra income into cryptocurrency. His investments grew over time, which allowed him to purchase the $400,000+ home and take the next big step in making his American Dream come true.
Others are following a similar path. Wang said the response from potential homebuyers has been overwhelmingly positive. So far, he’s received calls from purchasers in Italy, China, and several other countries.
Though he credits some of the interest to the residence’s location (the San Francisco Bay remains one of America’s prime real estate spots), he feels the mere mention of bitcoin is responsible for his high phone traffic.
“I’ve never had so many people calling from out of the area who have no idea where Oakland even is,” said Wang’s real estate agent Sean Beattie. “They saw ‘bitcoin’ and that’s it.”
Able and Willing to Play
Wang is the founder of Tana Investment Group and owns residential and commercial properties across the west coast. He said he tries hard to follow the latest technology and investment trends, and felt he had nothing to lose when trying his hand at a cryptocurrency-home sale. He hadn’t seen any such cases in his area yet, and was eager to be amongst the first.
“I try to stay in the lead in terms of how trends are going,” he explained. “I try to understand new technology. There’s a lot to figure out, but I’m willing to be the test case.”
At press time, bitcoin-realestate.com lists approximately 400 separate properties on its website, 15 of which are in California, and Wang’s is only one of two in the Bay area.
Redfin agent Aaron Drucker explained that listing crypto as “okay” when trying to conduct a home sale gives one’s property a little more exposure to respective buyers, as “earlier investors in bitcoin have made a lot of money.” Thus, they “may want to convert some of that into tangible assets.”
Despite the movement’s growing popularity, he advised first-time buyers to avoid crypto, and recommended that only those with established finances who can afford to lose a little here and there take the risk.
“If you want to buy a second home, this might be something to consider,” he explained. “No matter how you look at it, it’s definitely risky.”
Will crypto-home sales become more common in the future? Post your comments below.
Images via Pixabay, YouTube, Jon Southurst