StakeBrick brings a bold new vision to property investing

How a share can earn income

When a property is rented out, the rent first pays the property’s bills. These can include maintenance, management, borrowing costs and money set aside for future repairs. The remaining cash may be distributed to investors under the investment’s terms.

If you hold 1% of an investment with equal shares and proportional payments, you receive 1% of the cash it distributes. If there is no cash to distribute, there may be no payment. The property’s value can also rise or fall.

What StakeBrick is building

StakeBrick brings a global outlook to this idea. Its public preview lets visitors explore destinations such as London, Dubai, Miami and Singapore, browse property types and save places that interest them.

The preview also demonstrates how the steps after choosing a property could look, including allocation costs, simulated reservations and fictional distribution records. Bringing those steps together could make the process easier to follow.

StakeBrick’s website is currently a simulated preview. It does not currently accept live investment payments or transfer property ownership. The free introductory webinar gives new registrants a way to ask the team about the platform and its plans.

Where tokenization fits

Tokenization means keeping a digital record of an asset or investment interest. Research from the Bank of Canada and the Bank for International Settlements describes potential benefits such as easier record keeping and smaller investment interests. The technology itself does not guarantee income, a buyer for your share or a better return.

For any future investment, the offering documents determine the minimum amount, fees, eligibility, income rights and selling rules. A share may be an interest in a company or fund that holds the property, rather than your name on the property’s land title.