Real estate tokenization has moved from concept to reality. Thousands of investors now hold fractional ownership in residential and commercial properties through blockchain-based platforms. This comparison examines the three leading platforms, their approaches, and what investors should consider.
Executive Summary
RealT, Centrifuge, and Lofty represent three distinct approaches to real estate tokenization. RealT offers direct property ownership tokens; Centrifuge focuses on real estate debt securitization; Lofty emphasizes residential rental properties with a US focus. Each has unique advantages and risk profiles.
Platform Comparison
RealT (Ethereum/Gnosis Chain) Founded: 2019 Focus: Residential rental properties, primarily Detroit/Chicago/Florida Token Standard: ERC-20 (Ethereum) + bridged to Gnosis Minimum Investment: ~$50 Average Yield: 8-12% APY (paid daily in USDC)
Strengths: Longest track record in tokenized real estate Daily rental income in USDC Active secondary market on Gnosis Detailed property documentation
Weaknesses: Concentration in lower-value properties Detroit market exposure Complex tax reporting for non-US investors
Centrifuge (Polkadot/Ethereum) Founded: 2017 Focus: Real estate debt, invoice financing, structured credit Token Standard: Multiple chains supported Minimum Investment: Varies by pool ($1,000+) Average Yield: 6-10% APY
Strengths: Institutional-grade infrastructure Diversified across asset types Partnership with MakerDAO for DAI collateral Experienced team
Weaknesses: Less transparent than direct property ownership Debt structures add complexity Higher minimums
Lofty (Algorand) Founded: 2021 Focus: US residential rental properties Token Standard: Algorand ASA Minimum Investment: $50 Average Yield: 6-9% APY (paid daily)
Strengths: Clean user experience Low Algorand transaction fees US regulatory focus Growing property portfolio
Weaknesses: Smaller secondary market Less track record than RealT Algorand ecosystem limitations
Key Considerations
Legal Structure All three platforms use SPVs (Special Purpose Vehicles) or LLC structures to hold properties. Token holders are beneficial owners with pro-rata rights to rental income and sale proceeds.
Tax Implications US Investors: Rental income is taxable as ordinary income. Capital gains on token sale. Non-US Investors: FIRPTA considerations for US property ownership. Consult tax advisor.
Liquidity Secondary markets exist but are thin compared to traditional securities. Expect bid-ask spreads and potential delays in selling.
Risks Property-specific risks (vacancy, maintenance, market decline) Platform risk (technical, regulatory, business continuity) Smart contract risk Regulatory uncertainty in many jurisdictions
Getting Started
RealT Complete KYC on realt.co Connect Ethereum wallet or use RealT Wallet Browse available properties Purchase tokens with ETH, USDC, or fiat
Centrifuge Complete investor accreditation (varies by pool) Connect wallet to Centrifuge dApp Select pool based on risk/return profile Invest with DAI or USDC
Lofty Create account on lofty.ai Complete identity verification Fund account via bank transfer or crypto Purchase tokens in available properties
Key Takeaways RealT offers most mature ecosystem with daily yields and secondary market Centrifuge targets institutional/accredited investors with debt products Lofty provides cleanest UX for retail investors new to tokenization All platforms carry significant risks not found in traditional real estate
Related: [RWA Hub](/rwa) • [Tokenization Hub](/tokenization) • [US Housing Market 2026](/articles/us-housing-market-2026-forecast)