Hybrid Blockchain Model for Automation of Property Sales Legal Agreements

Legal property agreements are legally binding contracts between parties involved in a property transaction, such as the sale and purchase of land or buildings, rent, mortgage, or joint ownership. Conventional property agreements often face such problems as bureaucratic and notary delays, document forgeries, ownership disputes stemming from unclear records, limited transparency and auditability, and high transaction costs. Therefore, this research aims to develop a hybrid blockchain to improve the transparency of transaction information in property sales agreements. The hybrid blockchain system combines the features of public blockchains (transparency and auditability) and private blockchains (restricted access and efficiency) to create a regulated yet publicly verifiable system ecosystem. The research employs a qualitative method, incorporating a literature review to identify issues in legal property agreements and propose solutions utilizing blockchain technology. The Hyperledger Fabric simulation results show that all authorized nodes on the blockchain network will verify every property-related transaction, ensuring that the information produced by the blockchain system is transparent and trustworthy.