NFTs are entering every market you can think of, and real estate is no exception. Propy, the real estate startup, has sold its first property backed by an NFT. 

The property in question is a 2,164-square-foot house located in Gulfport, Florida. The property went through a lackluster auction and was eventually sold for 210 ETH ($653,000). This is only $3 000 more than the initial price for the property, which to some was somewhat disappointing because more than 7,000 signed to bid for the property. 

The owner received rights over the home and an NFT as proof of their ownership over the house. 

The NFT’s connection to the asset is complicated since the link is not direct. The NFT is related to an LLC that owns the financial asset. 

Nevertheless, this hasn’t stopped crypto enthusiasts and companies excited for its opportunities from experimenting. NFTs have been in the mainstream for less than a year, and they already the market for them has reached nearly $16 billion, and this is more than 1% of the crypto market’s $2 trillion total market revenue. 

Innovation through NFTs in the real estate market doesn’t stop with their use as proof of ownership. Many have proposed using NFTs as collaterals for investors and borrowers of crypto. 

The enthusiasm of folk when it comes to using Propy’s service seems to hold no end. The company’s CEO, Natalia Karayaneva, recently told that they “gotten hundreds and hundreds of requests from sellers to sell their homes all over the U.S.” According to her, “The next big sale will be in Tampa again, it’s a condo that is worth between $200,000 to $300,000.”

Propi has made plans to become more versatile, offering decentralized finance (DeFi) mortgages and allowing for properties to be with U.S. dollars so that potential buyers who have concerns over volatility can also participate in the market.