PHOTO: Pic: Screen Australia

Special report: “Fractional property investment” is an increasingly popular investment strategy amid ever-increasing house prices.

Instead of a buyer putting down a deposit for a property, fractional investment allows the cost to be divided into shares and sold to investors, effectively giving each holder a portion of a property.

As the property’s value rises, so too does the value of each share.

In the past year, there has been a notable rise in the popularity of fractional property investment as house prices in many of the major cities skyrocket – not just in Australia but in overseas markets too.

The concept has attracted platforms such as BrickX and most recently CoVESTA — but the latest blockchain-enabled platform could represent the future.