Metropoly is a decentralized project that offers fractionalized ownership of income-generating real estate.
They create an NFT that is linked to a specific real-world property. They then split the NFT into fractions (as small as $100!) that can be purchased and traded like any other NFT.
The NFT owners can then benefit from the real-world rental income and property appreciation.
Buying Real Estate usually requires a lot of paperwork (bank, lender applications, visa requirements, brokers, etc), time, and significant resources (downpayment, taxes, notary fees, lender fees).
When you want to buy the best-performing real estate you then add in further complications (management, maintenance, tenants, etc) not least if you would prefer to buy something overseas.
Metropoly helps people avoid these barriers to entry into real estate ownership.
Metropoly are building an NFT marketplace to invest in income-generating properties. Each NFT in the Metropoly Marketplace is backed by real-world properties and is divided into fractions, allowing anyone to invest in real estate for as little as $100 USD.
Property can be bought in just seconds and the process is entirely digital and hassle-free
Users can then track the performance of their Real Estate NFT using the interactive dashboard.
Users can diversify their investments across multiple properties to reduce risk
- No Paperwork
- No Mortgage Lender
- Property Management Done For You
- Earn Monthly Passive Income
- Take advantage of Capital Appreciation
The project has a 1 billion total supply with a planned vesting schedule of 10% every 10 days starting 24hrs after the launch.
The primary method of earning is simply the ownership of the NFT’s and then collecting the proportional rental income each month.
Over the course of your NFT ownership, it is also hoped that the property will appreciate in value meaning that the value of your NFT will also go up. (Note: this is determined by the value of the property in the real-world and can therefore go up or down)
Going forward there is also a plan to facilitate a lending mechanism whereby the value of your NFT can be used as collateral whilst then borrowing money against it.
Investors / Partners
Tenset’s Infinity Program – Connecting crypto startups with community
DTC Group – Crypto Marketing
Transak – Fiat On/Off Ramp provider
References / FAQ’s
How do you earn income on Metropoly?
The shares of the rental income of a property will be distributed to the user’s wallet in USDC (ERC20). The net distributions are calculated after all property-related costs are deducted from the rent, such as service charges, property management fees, Metropoly annual administrative fees, maintenance, taxes, insurance, and other expenses. After receiving dividends, the funds will be shown on the profile’s dashboard. If the property is sold, the shares of the sale’s proceeds (after deduction of all relevant transaction costs) will be distributed to the users according to their stake.
If a property is sold, the owner will need to burn their NFT to get their share from the sale. The amount realized on the sale will be distributed to all owners following their ownership after deducting all relevant transactions. At that stage, the Real Estate NFT will be considered redeemed (with gain or loss).
How much will users receive monthly?
The amount received will be determined by the net yield of the property they have invested in and the amount invested. For example, if someone invests $100,000 USD into a property that generates a net yield of 7%, they will receive 7,000 USD per year in cash returns.
What role does Metropoly play?
Metropoly is in charge of operating the platform and managing the real estate on behalf of the investors until the sale (until a property has been sold and capital returned to investors). This includes ensuring that all digital and other operations run smoothly and that assets are identified, evaluated appropriately, and managed responsibly. In addition to financial administration, we eliminate all operational headaches for our investors as they do not have to worry about tenant operations, leasing, maintenance, or any technical requirements.
Why invest in real estate NFTs?
- Real estate grows in value over long periods and is less volatile than public financial markets, offering stability in turbulent times.
- Real estate is a hedge against inflation and currency depreciation and an excellent long-term store of value.
- Real estate is a productive asset that generates predictable income from rent.
- When included in a diversified portfolio of different asset classes, real estate enhances the quality of the portfolio’s risk-return profile.
Can I visit the real estate I invested in?
No. As part of our commitment to being fully transparent with our investor base, all properties offered on the platform will include a complete 3D walkthrough, high-resolution photos, and inspection reports. However, as we generally look to show properties already tenanted, visiting those units can be difficult and impractical, especially with many investors. It is therefore not operationally feasible to arrange visits to all properties.
What happens if a property on the Launchpad is not 100% funded after the timer ends?
In such a case, the opportunity will be canceled, and the amount for the real estate share will be credited back to the user’s wallet in full. They may then either withdraw the funds or decide to reinvest the proceeds into another property on Metropoly.