Meta: Metaverse property prices have gone through some major shifts in the last couple of years, as interest in the metaverse continues to grow. Here’s what you need to know.
Metaverse property prices have soared and dipped drastically over the last couple of years, driven by changes in the digital landscape, and the blockchain. While the concept of metaverse real estate may seem unusual to some, and the frenzy over it has died down, some are still selling (and buying) digital real estate.
While Zuckerberg, once Metaverse’s greatest proponent, has shifted his focus to AI, there is still interest in the concept even today in 2023.
In an environment rich in “digital twins” and virtual environments, many investors are exploring the opportunities of virtual real estate. A virtual property gives people a place to store and showcase their digital assets (like NFTs), as well as an environment where they can relax and create.
So, how much is a plot of land in the metaverse?
How to Buy Land in the Metaverse
Buying Metaverse land is often done with cryptocurrencies like SAND, and Ethereum. There are even special types of currencies associated with specific metaverse environments, like MANA, for Decentraland. Typically, purchases of land in the metaverse can be conducted either on a metaverse platform, or via a third-party reseller market, like opensea.io.
Exactly how much you’ll pay for a property in the Metaverse will depend on a number of factors. During the Metaverse land rush of 2022, digital plots on Worldwide Webb Land were selling at around $92,000 and above. A metaverse investment firm called Republic Realm purchased a piece of real estate in Decentraland for $913,000. The same company also purchased 800 separate plots in “Sandbox” for $.28 million.
Buying land in the metaverse is also popular among major celebrities, like SnoopDog, as well as organizations like HSBC, Samsung, and JP Morgan.
Buyers can also purchase land using a “Metaverse mortgage” on some accounts, similar to how we would pay for a real-world property in the physical world. However, this would involve using a Metaverse real estate agent, which can incur additional fees.
How Much Is Metaverse Land?
Currently, the price of metaverse land is somewhat variable. The Sandbox was the largest environment for purchasing digital property, according to the CFTE in 2022. In 2021, the metaverse environment had 65,000 transactions in virtual land, equalling around $350 million in sales. The Decentraland Metaverse land map is the second largest environment today, with around 21,000 sales in 2021, equalling $110 million in investment.
For both of these virtual environments, the average price recorded from metaverse land sales was approximately $5,300 in 2021. In January of 2021, however, the average price for a Metaverse property was $100, whereas it was closer to $15,000 in December 2021. In January of 2022, the average Metaverse property cost was over 5 ETH, or $18,000.
Towards August 2022, Metaverse property prices have begun to dip again, to an average of around $5,163 on Decentraland, and $2,800 on Sandbox. Analysts suggest the Metaverse real estate for sale now has decreased in price by around 85%.
However, according to DappRader, and in spite of many proclaiming that the Metaverse is dead, virtual land trading reached 147,000 trades in Q1 of 2023. This rise in sales was lead by platforms MG Land and Otherside.
In spite of this drop, in 2023 you can find plots on Decentraland going for more than 50,000 MANA, an equivalent of $22,500 at the time of writing. On Sandbox, you can find land ranging in price between 0.5 and 1,000 ETH.
The Biggest Metaverse Real Estate Sales
While there may be cheap metaverse land available on some platforms, there have also been various reports of major purchases, usually by big brands and businesses.
One of the most expensive metaverse land purchases of all time was the $4.2 million purchase made by Republic Realms in the “Sandbox” virtual realm. This purchase included 100 private islands which are now valued at $300,000 each.
Other major purchases include an acquisition by the CEO of Tokens.com, Andrew Miguel, who spent $2.4 million on Decentraland real estate. An Axie Infinity purchase also equalled around $2.5 million, though the details of the person or company who made the purchase is unknown.
What Is the Cheapest Metaverse Land Available?
If the digital real estate volume continues to ramp up in the Metaverse following a dip in 2022, the prices of virtual land could quickly begin to increase again.
The smallest option you’ll have for buying metaverse real estate is to purchase a 1x1 block of land. This equates to around 16 square meters on Decentraland, or 96 square meters in the Sandbox.
Lesser-known virtual land companies could also offer a lower pricing package. The lowest price for a metaverse plot of land on Crypto Voxels can go as low as 0.20 ETH, which equates to around $1,799.
Exploring the Metaverse Land Price
Ultimately, Metaverse property can sell for a range of prices, depending on where you choose to buy. If you want a plot of land in one of the more popular metaverse environments, you can expect to spend well over $10,000 today.
While there have been some significant dips in Metaverse real estate sales lately, many digital experts still agree that the demand for Metaverse land will continue to increase. While Meta’s CEO might have shifted his focus to AI, this can create room for others to lead the way towards the Metaverse. For those interested in owning their own virtual property, now might be a good time to buy.
