How to Buy Real Estate with Bitcoin and Other Cryptocurrencies in 2024

The number of real estate transactions made with cryptocurrency has increased significantly in recent years. According to research, more than 12% of American realtors are already involved in transactions using digital assets. In Europe, this figure is 8–10%. This article is a guide to all the countries that currently offer this option.

Context and Benefits

The history of using cryptocurrencies in real estate is relatively recent. The first recorded transaction of this kind took place in 2014 in California, USA, when a property was sold for bitcoins. Since then, interest in such transactions has been steadily growing.

Key development milestones:

• 2014: first Bitcoin-based real estate sale in the US.
• 2017: a major cryptocurrency real estate deal in Dubai.
• 2021: UAE's Emaar Properties announces acceptance of Bitcoin and Ethereum as payment.
• 2022: record sale of apartment for $22.5 million in bitcoin.

Advantages of using cryptocurrencies when buying real estate:

• Transaction speed. Unlike traditional bank transfers, which can take several days, especially for international transactions, cryptocurrency transactions are almost instantaneous.
• Reduced fees. The absence of intermediaries in the form of banks allows you to avoid high commissions for international transfers and currency conversion.
• Availability. Cryptocurrencies are not tied to a specific country or banking system, making international transactions easier and opening up access to the global real estate market.
• Transparency. Blockchain technology provides complete transparency of all transactions, which increases the level of trust between the parties to the transaction.
• Diversification of investments. For owners of large crypto portfolios, this is an opportunity to diversify their assets by investing in material assets.
• Potential for value growth. Given the volatility of cryptocurrencies, there is an opportunity to profit from the growth of their rate by the time of the transaction.

The Process of Buying Real Estate with Cryptocurrency

This is roughly what the algorithm of actions looks like:

1. Selecting a property and checking its legal purity.
2. Agreeing the terms of the transaction, including price and payment method.
3. Preparation and signing of the purchase and sale agreement.
4. Notarization of the transaction (if required).
5. Conducting a cryptocurrency transaction:
   • Direct transfer of cryptocurrency to the seller.
   • Or converting cryptocurrency into fiat money through an exchange.
6. Registration of property rights.
7. Payment of required taxes and fees.

Precautions:

• Using reliable cryptocurrency wallets and exchanges.
• Thorough check of the legal purity of the property and the seller.
• Consultations with lawyers and tax specialists.
• Fixing the exchange rate of cryptocurrency at the time of the transaction.
• Ensuring the security of private keys and passwords.

Popular Destinations for Buying Real Estate with Cryptocurrency

Below we have prepared a review and comparison of countries that, to varying degrees, offer the option of purchasing real estate with cryptocurrency.

United Arab Emirates

The UAE, especially Dubai, has been a pioneer in the adoption of cryptocurrencies in the real estate market.

• The Dubai Virtual Assets Regulation Law was passed in 2022.
• Major developers including Emaar Properties and DAMAC Properties accept payments in cryptocurrencies.
• Average apartment price: about $177,000.
• Average price per square meter in central Dubai: about $3,540.
• Rental yield: 5–8% per annum depending on the area.

Thailand

Thailand is actively developing its real estate market and attracting investors, including with the help of cryptocurrencies.

• The first country in Asia to regulate cryptocurrency.
• The turnover of official crypto exchanges is about 3-3.5 billion dollars per month.
• Average apartment price: about $220,000.
• Average price per square meter in the city center: about $3,700.
• Income from short-term rentals in tourist areas: 10-12% per annum.

Portugal

Portugal, especially the autonomous region of Madeira, offers attractive conditions for investors in real estate using cryptocurrencies.

• No taxes on cryptocurrency transactions.
• Average apartment price: about $190,000.
• Average price per square meter in the city center: about $3200.
• Rental yields in Madeira: 5-12% per annum depending on the type of rental.

Indonesia (including Bali)

Indonesia, especially the island of Bali, attracts not only tourists but also investors.

• Cryptocurrencies are not recognized as legal tender, but investments are allowed.
• Prices for apartments in Bali start from $1800 per sq.m.
• In popular areas of Bali, prices can exceed $3,000 per sq.m.
• Short-term rental yield in Bali: 8-12% per annum.

Türkiye

Türkiye offers interesting opportunities for real estate investment using cryptocurrencies, despite some legislative restrictions.

• 52% of Turkish residents invest in cryptocurrencies.
• Average apartment price: about $100,000.
• Average price per square meter in the city center: about $1400.
• Rental yield: 4–10% per annum depending on the type of rental and area.

Georgia

Georgia is becoming an increasingly attractive destination for real estate investments using cryptocurrencies.

• The Georgian authorities are loyal to cryptocurrencies and regulate this area by law.
• Average apartment price: about $100,000.
• Average price per square meter in the city center: about $1700.
• Rental income: 4–8% per annum.

Montenegro

Montenegro offers interesting opportunities for real estate investment using cryptocurrencies.

• The first real estate transaction using cryptocurrency took place in 2017.
• Average apartment price: about $130,000.
• Average price per square meter in the city center: about $2200.
• Rental income: 5–10% per annum.

Cyprus

Cyprus is starting to attract the attention of investors looking to buy real estate with cryptocurrency.

• In 2018, the first real estate transactions using bitcoins were recorded.
• The status of cryptocurrency is not officially defined, but it is not prohibited either.
• Rental income: 3–8% per annum.

Vanuatu

Vanuatu is one of the first countries to fully legalize cryptocurrency.

• The country offers citizenship by investment opportunities, which may be especially attractive to crypto investors.
• The most developed real estate market is on the island of Efate, where the country's capital, Port Vila, is located.
• Most foreign investors purchase property on a long-term lease (usually 75 years with the possibility of renewal).
• Relatively low taxes and the absence of capital gains tax may make Vanuatu property investment more attractive.

Salvador

El Salvador has become the first country in the world to grant Bitcoin the status of official payment.

• Bitcoin has been recognized as legal tender since 2021.
• The average price per square meter in capital starts at $1,500.
• Growing interest in real estate investments.
• Rental income: 5–12% per annum.

Vietnam

Vietnam offers interesting opportunities for real estate investment using cryptocurrencies.

• Cryptocurrencies are not recognized as legal tender, but their use is not prohibited.
• Restrictions for foreign investors (no more than 30% of apartments in one residential complex).
• Real estate prices are growing by 6-8% annually.
• Rental income: 6–15% per annum.

Philippines

The Philippines is actively developing its real estate market and is open to investment using cryptocurrencies.

• Since 2017, registered companies can legally conduct transactions with cryptocurrencies.
• The real estate market is growing by 5-6% per annum.
• Average apartment price: about $190,000.
• Rental income: 4–10% per annum.

Saudi Arabia

Saudi Arabia is starting to open up to cryptocurrency-based real estate investment.

• Cryptocurrencies are not recognized as official means of payment, but their use is not prohibited.
• Property prices in Riyadh range from $3,000 to $5,000 per square meter.
• The real estate market is actively developing within the framework of the Vision 2030 program.
• Rental income: 4–8% per annum.

Qatar

Qatar presents interesting opportunities for real estate investment using cryptocurrencies.

• Cryptocurrencies are not recognized as official means of payment, but their use is not prohibited.
• Property prices in Doha range from $3,500 to $7,000 per square meter.
• The real estate market is actively developing after the 2022 FIFA World Cup.
• Rental income: 6–10% per annum.

Comparison of popular destinations for buying real estate with cryptocurrency