The metaverse is very much in demand, but virtual land has seen a lot of interest recently. The prices for virtual real estate have risen significantly in recent months, compared to 12 month ago. Virtual parcels resulting from several blockchain metaverse projects are now selling at seven figures. Terrazero Technologies, which offers metaverse mortgages, has launched a virtual estate brokerage.
Terrazero provides Metaverse Real Property Loans for People who are looking to buy virtual land and houses
Virtual real estate is hot right now as more people are using their crypto assets for metaverse parcels. The Sandbox Project, Axie Infinity and Decentraland saw virtual land parcels go for millions and hundreds of thousands. Bitcoin.com News published a report last November on several million-dollar transactions in metaverse blockchain universes. Eight plots of Axie Infinity Land were sold at 888ether, or $1.5 Million at settlement.
Virtual land adjacent to Snoop Dogg’s metaverse mansion in The Sandbox sold for $450K in ethereum (ETH) during the first week of December. Metametric Solutions published a study that estimates metaverse estate sales will reach $1 billion in 2018. Terrazero Technologies, a new project is offering loans for home to those who want to buy virtual property. According to an article by mpamag.com Terrazero has completed the first metaverse mortgage for a client who wanted to finance the purchase of virtual land.
Terrazero has announced it had closed the world’s first metaverse mortgage transaction. The land was derived from Decentraland (an Ethereum-based virtual realm). The buyer and seller agree on terms, then make monthly payments until the loan’s repayment. Andrew Martinez from National Mortgage News (NMN) explained that Terrazero founder Dan Reitzik, CEO of Terrazero, explains that the deed (NFT), is a non-fungible token.
“We do KYC, or Know Your Customer,” Reitzik detailed. “Then they show us a business plan so that we know that they’re going to be able to pay us back over time. If it sounds viable then we buy the land on their behalf.” The Terrazero founder added:
It is basically a NFT. We hold that in the company’s cold storage until the loan is paid off. However, we grant developer rights to the land. This allows the individual to build what they like. If the customer doesn’t pay, then obviously we have that as our collateral.
Terrazero’s metaverse mortgage follows the Florida home in Gulfport that was sold as an NFT. The One DAO project is trying to acquire the notorious home, The One Bel Air. During the interview with NMN, Terrazero’s CEO disclosed that the team is working with an unnamed banking partner. Amadea is a new metaverse real-estate platform that will be launched by the project.
Let us know your thoughts on the metaverse mortgage idea. Do you think it would be possible to obtain a mortgage for virtual land purchase? Comment below and let us know how you feel about the subject.
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