Real Estate Tokenization Is Poised for Impressive Growth, Promises to Transform Conventional Investment Models

Real estate tokenization is poised for impressive growth over the next decade, changing conventional investment models as blockchain technology is adopted.

Real estate tokenization is set for stellar growth over the next decade, revolutionizing traditional investment models as blockchain technology gains mainstream adoption, predicts a recent report by financial services firm Deloitte.

According to data from Deloitte's Financial Services Center, by 2035, over $4 trillion worth of real estate could be tokenized on blockchain networks, a substantial increase from less than $300 billion in 2024. Experts estimate a compound annual growth rate (CAGR) of more than 27%.

This rapid expansion of tokenized real estate, according to analysts, is fueled by the advantages of assets on blockchain, as well as structural shifts in real estate and ownership patterns.

"Real estate itself is undergoing transformation. Post-pandemic work-from-home trends, climate risk, and digitization have reshaped property fundamentals," remarks Chris Yin, co-founder of Plume Network, a blockchain platform for real-world assets (RWAs).

"Office buildings are being converted into data centers for artificial intelligence, logistics hubs, and energy-efficient residential developments. Investors want targeted access to these modern use cases, and tokenization provides programmable, customizable access to these evolving asset profiles."

Import tariffs and interest in RWAs

With uncertainty surrounding U.S. President Trump's stance on import tariffs and increasing interest in RWAs, experts at financial services firm Deloitte predict that by 2035, more than $4 trillion worth of real estate could be tokenized on blockchain networks.

This is a significant increase from less than $300 billion in 2024, with experts estimating a CAGR of more than 27%.

However, some industry observers remain skeptical about the benefits of tokenized real estate.

"I don't think tokenization should directly target real estate," Michael Sonnenshein, chief operating officer of Securitize, stated at Paris Blockchain Week 2025.

"I believe blockchain technology can be used to improve efficiency, eliminate middlemen, escrows, and a host of other things in real estate. But I think today's online economy requires more liquid assets."