Until recently, the real estate industry has been slow to integrate technology into its operations. Today, changes in innovation are coming about at a pace faster than ever. As the newest technological advancements continue to surface and tech-savvy millennials set new trends, the real estate industry is starting to evolve.
Compared to a few years ago, real estate is definitely not what it once was. The industry is now embracing the digital world and its advantages.
Here are five trends and innovations to watch for in the real estate industry.
AI can outperform a real estate professional when it comes to conducting research and financial analysis. In streamlining data, the technology can be used to ensure the buyer’s information is accurate by constantly analyzing it. In the case of inconsistency such as empty fields or missing signatures, an AI-powered tool sends notifications to the agent or buyer for remediation. As a result, data is securely stored and easy to access.
Lio Slama, CEO of SquarePlan, a New York City-based Real Estate Tech startup, says his AI software is useful in that it helps manage key processes and tasks for landlords and property managers.
“SquarePlan is a virtual assistant, able to boost a landlord and property manager’s efficiency, increase maintenance speed and accuracy, and bring more transparency for tenants. We created an intelligent system that allows property owners and managers to be more competitive,” he says.
Virtual reality has made an impact in practically every industry, but it has really taken off in the real estate sector. One of the first steps of buying a property or becoming a renter is viewing the ins and outs of a property. Virtual reality allows prospective tenants and homebuyers to walk through properties before buying or renting them. This technology is an added bonus, especially for those people who live outside of the city or town they are looking to buy.
Tom Haughton is the Vice President of My Place Realty (MPR) in Winnipeg. He has firsthand evidence that the real estate industry is shifting to adapt to new changes in technology, including the implementation of smart homes.
“In time, more buildings are going to be “smart buildings” with new-age technology. Currently, we are using door entry systems, cameras systems, alarm systems, and smart card laundry systems,” says Haughton.
Voice-controlled technology has had a major impact on our lives since smart assistants entered the mainstream market. Today, 600 million people worldwide use voice assistants at least once a week. In the real estate market, including smart devices into homes and rental buildings is a huge selling point. Buyers and renters can control a smart TV, digital thermostat, online home security system and smart lighting much faster than setting everything manually.
According to Inc.com, “if decentralized databases and distributed ledgers were to become mainstream it could dramatically reduce the potential for fraud and enable us to access much more data on individual properties and homeowners.
The use of Blockchain is changing the way property managers receive rent payments by removing middlemen and reducing transaction costs. It has also proven to provide better decision-making in leasing processes with the use of a shared database where everyone involved can interact with information in a secure way.
Whatever your take is on disruptive innovation, the growing use of technology in real estate can’t be overlooked. While some field experts argue that the role of agents is becoming obsolete, these human roles aren’t likely to disappear. That’s because the real estate business will always rely heavily on the advice and guidance from a human expert.