HOM-NFT Feature 3: Rental
Rental Utility: Using the HOM-NFT to rent a property
Renting a property using a HOM-NFT takes the form of buying and burning day-NFTs embedded into each HOM-NFT. Each HOM-NFT includes a package of meta-data, including 365 day-NFTs, one for each day of the year.
There are actually two different NFTs involved in the rental transaction. The Tenant NFT (RNFT-T) and the landlord NFT (RNFT-L), These two tokens form the inter-party agreement on the blockchain that governs the rental process.
When you rent a property that is encumbered by a HOM-NFT, the tenants can buy the applicable day-NFTs (RNFT-T) to stay in the property, which correspond with the landlord day-NFTs (RNFT-L). Upon completion of the rental period, both landlord and tenant day-NFTs are burned.
You can rent the property for a day (buy-burn 1 day-NFT), a month (buy-burn 30 day-NFTs), a year (buy-burn 365 day-NFTs), or any amount of time. The payment for the day-NFT will be made in HOM tokens or other crypto based on where the day-NFT can be auctioned. For example, if you buy day-NFTs on OpenSea, you may use MATIC or ETH. If you buy them on a DEX, you may use USDC or BTC or any other crypto. If you buy them on the HOM platform, you can use HOM tokens..
Naturally, the price of Some day-NFTs will be more valuable than others and be driven by demand. For example, if you are renting a chalet in Switzerland for a ski vacation, the day-NFTs over for the Christmas/New Years holidays will have a higher price than those during non-peak/lower demand times of the year for September.
When renting a property using the day-NFT, it is contemplated that there will be a third-party validator that will verify availability and verifies occupancy, much like a front desk at a hotel. Think of it as a front desk (in fact, it could be a front desk in many cases). The third-party validator verifies that the day-NFT owner checked in and checked -out of the property. There can also be additional levels of validators embedded into the day-NFT that verify that other services were carried out (e.g., housekeeping was done, or, maintenance, or other operational requirements) associated with the property.
It is hoped that the use of day-NFTs for rental and use of property managements will help provide more affordable and cost-effective access to the property market, making it possible for people to use properties in a way that is more convenient and sustainable than ever has been done before.