A Florida Land Trust is a private agreement between one or more beneficiaries and a Trustee to operate, manage and hold legal title to a property. Florida Land Trusts operate under section 689.071 of the Florida Land Trust Act (http://www.leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0600-0699/0689/Sections/0689.071.html). The wording of the land trust specifies the legal description of the property as well as how a Trustee must operate and manage the property.
In the case of HouseBit, the beneficiaries are the ownership token holders.
The Trustee acts as a fiduciary on behalf of the beneficiaries. That means all actions undertaken on the property by Trustee must be in the best interest of the beneficiaries and conform to the terms established in the Land Trust.
Public records only show the Trustee and the trust property as the property owner. Trust beneficiaries are not disclosed.
Terms and conditions of each HouseBit land trust are available on the HouseBit website and should be reviewed before undertaking any token purchase.
A Non-Fungible Token or “NFT” is a unit of data stored on a digital ledger, called a blockchain, that certifies a digital asset to be unique and therefore not interchangeable.
For example, there will be one NFT for each HouseBit property which is specific to that property and represents the right to live in that property. The HouseBit occupancy NFT will also have a “Smart Contract” attached to it which will specify all monthly obligations.
The HouseBit ownership NFT represents proportional ownership in a unique property and is specific to that property.
Uniswap is a decentralized crypto exchange that runs on the Ethereum blockchain.
The vast majority of crypto trading takes place on centralized exchanges. These platforms are governed by a single authority (the company that operates the exchange), require users to place funds under their control and use a traditional order book system to facilitate trading.
Because Uniswap is a decentralized exchange (DEX), it also means users maintain control of their funds at all times as opposed to a centralized exchange that requires traders to give up control of their private keys so that orders can be logged on an internal database rather than be executed on a blockchain. This is more time consuming and expensive. By retaining control of private keys, it eliminates the risk of losing assets if the exchange is ever hacked.
Although HouseBit tokens are traded on Uniswap by default, you do not need to know how to use Uniswap to trade tokens as this is handled automatically by the HouseBit platform.
Ethereum is a decentralized, open-source blockchain with smart contract functionality. Ether (ETH or Ξ) is the native cryptocurrency of the platform. It is also the basis for HouseBit Smart Contracts, which secure HouseBit transactions on the blockchain. For more information, go to https://ethereum.org/en/.
Depending on the property, token holders may receive a distribution of revenues from the property in proportion to their holdings. If this is the case, they will receive these revenues automatically in their personal wallets. Each property has terms, conditions and estimated revenues where applicable, clearly provided on the property listing.
HouseBit properties are financed through the sale of tokens and do not use any traditional mortgage financing. As such, there is no lender to foreclose on the property. Similarly, HouseBit oversees payment of property taxes, HOA fees and any other critical payment on the property which avoids any potential seizure by 3rd parties.
Generally, gains or losses that remain within the HouseBit ecosystem would not have tax consequences until such gains/losses are realized through conversion to dollars. However, we strongly recommend that HouseBit customers consult their own tax professionals for advice in this area.
All repairs are covered by HouseBit, the local Homeowner’s Association, Condo Association, etc. as applicable.
Yes, you can make improvements on a HouseBit property at your own expense provided that any improvements are approved in advance by HouseBit (which will not unreasonably be withheld) provided they conform with local zoning and any HOA/Condo/COOP (etc.) regulations in place if applicable, and you receive approvals from these bodies if applicable.
Based on the terms of the Land Trust, if any party acquires all 1,000 ownership tokens and provides the Trustee with cryptographic proof of ownership, the Trustee is required to transfer the Deed for the property to that party or its assign.
The use of tokens as collateral or security is always at the discretion of the potential security holder. There are no limitations if a person or organization is prepared to take tokens as security.
Each property will come with its own set of rules and this will include whether the property can be used for short term rentals. Everything is set out in the property listing.
General insurance such as fire, storm and 3rd party liability is covered under smart contract payments. The token holder is responsible for any content insurance.
No, the token gives you the right to occupy a property for an indeterminate length of time under the terms of the smart contract which renews every month. As long as you meet the terms of the smart contract, you can live in the property.
Yes, you can arrange a viewing through the HouseBit listing broker. However tokens are sold on a real time basis, so can go off the market at any time.
There is no time limit. You can live in the property as long as you make your monthly obligations under the NFT smart contract and the property is available for occupancy. Each NFT is valid for one calendar month and renews automatically when the obligation is met.
Terms of the smart contract will be updated on a yearly basis to reflect property changes such as operating costs.
In some cases, such as in the case of the sale of the property or a major renovation, you may be required to leave the property. In this situation, the Trustee will notify you and provide you with a timeline and options available.
HouseBit inspects all properties on a regular basis, ensuring that they are accurately represented on HouseBit listings. Prior to changing occupants, we clean it up and fix anything that needs to be fixed so it is “ready to move in”. Of course, we highly encourage people to see a property first if possible. If you do not like the property, you can sell the occupancy token on the HouseBit Exchange at any time.
If you do not meet your obligations under a smart contract, you will be in default and will have 3 days to cure the default. After 3 days, if the obligations are not met, your Occupancy Token is not renewed. You will be obliged to vacate the property at the end of the month and you will not be able to sell the token to another party. After 3 defaults, you will no longer have the opportunity to cure the default and you will be required to leave the property.
Each HouseBit property is different. Some properties will be under the authority of a Home Owner’s Association or may be managed by a HouseBit property manager which will be responsible for specific repairs and/or maintenance. In other cases, you may be responsible for repairs and maintenance. For any given property, you will receive full details of your responsibilities before purchasing and which are programmed into the smart contract.
The sale Occupancy Tokens are sold on Uniswap and coordinated by HouseBit. You will work through a licensed HouseBit realtor who can also provide access to the Multiple Listing Service (MLS) network. You will be asked if you would like to use a HouseBit realtor when you place your token on the market. Normal broker fees will apply. You can set a move out date for up to one year in the future.
Each property will come with its own set of rules and this will include whether the property can be used for short term rentals. Everything is set out in the property listing.
General insurance such as fire, storm and 3rd party liability is covered under smart contract payments. The token holder is responsible for any content insurance.
No, the token gives you the right to occupy a property for an indeterminate length of time under the terms of the smart contract which renews every month. As long as you meet the terms of the smart contract, you can live in the property.
HouseBit tokens are completely digital and so must be stored in a “digital wallet” much like an online bank account. Like any other online account, you will have a “public key”, your address where tokens can be sent, as well as a “private key” which is the way you personally access and manage your tokens. No one can access your tokens without your private key.
When you register with HouseBit, HouseBit will set up your own personal digital wallet for your HouseBit tokens with a trusted and secure 3rd party (also known as a non-custodial wallet). HouseBit never has any access to this wallet. With a non-custodial wallet, users have sole control of their private keys, which in turn control your tokens and prove the tokens are yours. With a custodial wallet, another party controls your private keys.
All trading platforms have fees associated with trading. All Uniswap, fees are quoted prior to trade.
All tokens purchased initially through the HouseBit Exchange must have payments verified. For credit cards and other payment processors (e.g. PayPal), this may be instant or take a few hours. For ACH payments, this could take up to 24 hours.
Tokens become tradable as soon as payment is verified. Until then, they will appear in your personal wallet “pending payment verification”.
Transfer of tokens to the purchaser’s wallet is instantaneous.
The transaction price of a token is established by the open market. However, as a trader, you always have full control over setting the price you want to receive or the price you are ready to pay for a token. If you set a sell price too high or a purchase price too low based on the market, you reduce your chances of executing a successful trade.
No – all tokens are held in third-party non-custodial wallets which are under the token holder’s complete control. With a non-custodial wallet, users have sole control of their private keys, which in turn control your token and prove the tokens are yours. With a custodial wallet, another party controls your private keys.
No – HouseBit is a technology-based protocol for the tokenization of real estate. HouseBit facilitates access to Uniswap for trading tokens on this decentralized exchange. In a decentralized exchange (or DEX), users maintain control of their funds at all times as opposed to a centralized exchange that requires users to give up control of their private keys so that orders can be logged on an internal database rather than be executed on a blockchain.
Thank-you for your interest in this property’s ownership token. Ownership tokens for this HouseBit Candidate Property are not currently available as it has not yet been tokenized. Please let us know how many tokens you are interested in and one of our HouseBit specialists will get back to you as soon as possible with more information.
Thank-you for your interest in this property’s occupancy token. The Occupancy tokens for this HouseBit Candidate Property is not currently available and the property has not yet been tokenized. Please provide us with your contact information and one of our HouseBit specialists will get back to you as soon as the token becomes available. They can also advise you about other Occupancy tokens that are available that may be of interest.
Candidate listings are property that meet HouseBit tokenisation criteria
If an occupancy NFT buyer and/or enough ownership token buyers are interested in the property and it’s still available, HouseBit will make an offer and if accepted will close and tokenise the property.
All figures are estimated and may fluctuate or change if and when a tokenisation occurs.
