Real estate technology: Next Frontier in Technology [2023]

Real estate technology

Real estate technology, often referred to as RE Tech or Protech, is a sector of the economy that uses technology to make real estate transactions more efficient.

It is a sub-category of financial technology because real estate is an asset class representing
a significant investment.

In addition to their living room, some investors generate income and capital gains by investing in different property categories over time.

Different categories include mainly residential, commercial, and industrial.

Historically, real estate has been used as a more tactical investment or to provide alpha to the portfolio.

They were used as part of a core long-term strategy because of increased market efficiency and growing concerns about future long-term fluctuations in stock returns and bonds.

Which is the best real estate CRM software and what’s CRM software in real estate sector is recognized for its ability to act as a portfolio diversifier and hedge against inflation.

Real estate technology generally refers to a group of startups trying to target every segment of the real estate chain.

And they are trying to disrupt and improve current market players (developers, buyers, sellers, tenants, investors, and real estate professionals).

Build, market, discover, negotiate and manage real estate.

How is the technology changing the Real Estate sector?

• Technology has brought about a lot of changes in the real estate industry. Here are some examples of what technology can do and what it can do.

Mobile applications

• As the marketing saying goes, “If your plans don’t include a cell phone, your plans aren’t complete,” real estate has also begun to enter the world of mobile telephony.
• The real estate industry’s access to mobile telephony has opened many doors and has also acquired convenience for users’ palms.

AR and VR

• When mobiles entered the market, they also introduced new AR and VR technology.
• It has opened up the real estate market to a multitude of opportunities, such as:
• Give manufacturers and buyers a better perspective of their products
• Virtual real estate showcases: visit properties virtually without leaving home
• Virtual delivery
• Architectural visualization – to market a property that is not yet fully built.
• Virtual Instructions for Tenants – Provides instructions on how some facilities work
• Virtual Trading – to make changes to the statements. Mainly interiors and much more
• You can check some examples at this link

Position monitoring

• Not only has Google Maps started using location tracking, but the real estate industry has also started tracking procedures.
• It is not the same as Google Maps, but similar. Technology has undoubtedly made real estate a challenge!

Security

• Mobile technology has made real estate not only more sophisticated but also safer.
• Now you can follow everything in real-time only with your mobile devices!
• Gatekeeping technologies such as ADDA and TheHouseMonk track visitors in real-time.
• You also have the choice to take photos of whoever will visit, including vendors and housekeepers.

Blockchain

• As blockchain is the new era’s technology, the real estate sector has already adopted it.
• The latest startups like PROPY have adopted cryptocurrency payment methods.
• They also allow you to convert cryptocurrencies to traditional currencies and vice versa, which makes things easier.
• Because blockchain is all about transparency, they provide much-needed security in the real estate industry and make it a suitable technology for the real estate industry.

IoT and Big Data for Real Estate

• The Internet of Things, which connects objects and allows you to digitize entire buildings or neighborhoods, has the purpose of optimizing.
• It is the use of resources and collecting a large amount of exact and timely data.
• The main can benefit IoT and Big Data main advantages in property management, especially in large buildings.
• The installation of special sensors and devices allows immediate and constantly updated information on each component of its status.
• It allows you to manage the daily services related to a building’s operation.
• I am cleaning to supply any other service/product and, above all, the property’s constant and ordinary maintenance.
• In a certain sense, it is as if the possibility of intervening and improving a space is extended during the building’s entire life.
• It is no longer a “static” object once the design and construction phase is over.
• Therefore, big data and IoT allow us to respond in the best way to people’s needs, intervening from time to time as needed.

Connect closing services – Next Frontier in Real Estate Technology

• The industry has made significant progress in bringing digital options to consumers during the buying process.
• Today, 93% of home buyers search for their home online, and nearly half of home buyers complete their entire mortgage application online.
• We are at a tipping point where consumers expect digital options and consistency throughout the buying process.
• To do this, real estate technology companies are turning to the closing process, the final frontier in digitizing the home buying experience.

Future of Real Estate Technology Trends

• At $ 228 trillion, global real estate is the world’s largest asset. Unsurprisingly, we’ve seen significant
  investment in proptech, a staggering $ 10 billion in the U.S. in 2019, and no signs of slowing down.
• However, the surge in real estate technology investments will affect the future of real estate technology trends.

How real estate technology trends changed the sector in 2020

• The fourth industrial revolution is already being promoted here by the COVID-19 situation and the new demands on our life, consumption, communication, and work.
• Innovations that support social distancing and remote working are developing rapidly. And shortly, FinTech, PropTech, HealthTech, EdTech – it all ends with “Tech” – will take a step forward.
• However, it is not a one-day event but a long journey.
• In the meantime, we have enough (or not enough) time. Let’s see what changes in PropTech we can already see this year.

Also Read: Unicorn – Major Unicorns, How many unicorn companies are there?

The future of real estate technology

The above is quite disturbing, isn’t it?

However, the future of real estate can be even better with these technological trends in commercial and residential real estate:

1. High-end seniors’ accommodation with advanced security and flexibility;
2. Real Estate-as-a-Service concept for an unforgettable user experience;
3. Advanced authentication methods such as iris recognition cameras, vein readers,
4. DNA sequencing, etc.
5. Sustainability and “greening” of buildings;
6. An increasing number of fields;
7. Drones.

Bold sci-fi technology trends in real estate are already rocking the landscape

• The wider spread of digital reality, robotics paired with autonomous vehicles, old and good IoT and big data in new forms, and more.
• It will take time for governments, corporations, and society to adjust to a new reality and the global deadlock outcome.
• However, the paradigm of real estate as a service, senior housing, and intelligent cities emphasizing security is likely to catch on and evolve over the next year.