The rapid momentum of technology has made for innovative and surprising disruptions that have definitely stuck.
When tech provides more convenience, transparency, accessibility, security and cost-efficiency, especially in an old stuffy industry like real estate, things are bound to change, as they are with property tech, aka proptech.
It doesn’t seem like a good idea to purchase property without a site visit or the advice of a realtor lawyer; however, as more consumers adopt proptech to complete real estate transactions, it’s easy to see its value and future purpose in real estate transactions moving forward.
V/R and A/R in Real Estate
Using virtual reality (VR) and augmented reality (AR) during real estate transactions makes viewing multiple homes more convenient and cost-efficient. It’s also better for the environment and allows buyers to view multiple properties simultaneously.
Virtual purchasing hasn’t become fully adopted as buyers still need to physically visit a property and get the advice of a professional home inspector, but VR and AR do allow buyers and designers to collaborate in accurately-rendered virtual spaces, making design collaborations easier to visualize how a space would look with different design elements.
AI (Artificial Intelligence)
In the current model, real estate agents spend too much of their time on repetitive, low-yield tasks that prevent them from optimizing their time and skill on more productive and lucrative activities.
Real estate AI offerings include bots programmed to:
- Give guided virtual site tours
- Automate repetitive tasks, like engage customers in chatboxes to answer common questions and respond to emails.
- Sort through potential leads and identify cold, warm and hot leads.
Real estate agents also have more time and the tools to find, target and spend time on quality leads, thanks to predictive analytics and big data.
Big Data and Analytics in Real Estate
Modern platforms allow users to customize tables and dashboards and project potential future property values across several markets. They are powered by big data that aggregates historical and current data and recognizes patterns, trends, prices, demographics and other KPIs.
Armed with this knowledge, a real estate professional can:
- Target their properties with more precision to genuinely-interested buyers.
- Forecast property values using large data sets.
- Predict more accurately a property’s future value, risks and opportunities.
- Develop property based on predictions of the amenities that would fit potential residents.
- Better predict and avoid risky investments.
And using predictive analytics, sellers can provide buyers with the option to receive push notifications as soon as properties that match their criteria become available that they might have missed out on.
With thousands of computers that can be used to verify encrypted transactions and ensure the security and integrity of financial records, blockchain provides a safe and transparent cryptocurrency transaction with more efficiency and security than a financial transaction. Blockchain also allows for the potential to store property information in the blockchain, providing an extra layer of security and accessibility.