Technology advances at a rate that nobody can predict. As a result, nobody knows what will impact an industry in the future. This also includes real estate.
The truth is that real estate has been slower in adopting new technological trends. This is now changing. There are numerous new technologies that are changing the way in which work is done and every single person interested in real estate or working in real estate should be aware of the following.
Property management and real estate can gain a lot from the use of big data. This is because when more data exists, decisions are data-driven and better. The industry was disrupted by countless websites, including the likes of Trulia and Zillow. These are companies that collect data and compile it in relation to selling and buying trends, traffic, consumer survey results, demographic data, and a whole lot more. This offers insights on home value trends, potential value, and pricing.
In real estate, big data gathers historical and real-time information about building systems and a whole lot of other things. All this data makes it easier to manage properties and expect trends.
Both artificial intelligence and machine learning are getting more and more popular in real estate. This is mainly because the data gathered can make these systems very effective.
As a very simple example, property search websites often rely on very simple preferences for searches, like size and location. AI will make it easier to recommend real estate properties based on values, personality traits, and personal preferences.
You most likely already noticed the appearance of chatbots on real estate sites. They work great to answer some consumer questions in seconds as opposed to days, which sometimes happened with email. Real estate agents can even now use chatbots to conduct open house showings.
According to Alison Duffy, property purchasing agent in Canberra, ACT, one of the biggest advantages of using artificial intelligence is that the technology will be able to accurately predict pricing trends. This allows agents to prepare in a different way and the buying experience can become easier and faster.
Picture yourself seeing a home in 3D without leaving your home. This is possible with the use of augmented reality and virtual reality. Basically, these two technologies make the entire experience of buying a home more accessible and a lot more exciting.
The realtor can use the technology to create a virtual reality house tour. Such a tour can be accessed from home. This can even help international buyers to choose something that is perfect for them without having to leave their country of residence for a showing.
Augmented reality can even be really useful for property managers. They can create VR tours to show tenants what the home would be like. Also, there is a practical approach. Instead of having to present really lengthy instructions on topics like using the thermostat, virtual tours can walk tenants through practically everything.
Internet of Things (IoT)
IoT practically refers to smart appliances and devices connected to cloud servers. These constantly receive and send information. We can see machines with smart sensors capable of alerting property managers and owners to various problems, thus leading to easy predictive maintenance. In addition, home buyers will be able to see a full history of the property’s upkeep and maintenance with smart devices being connected to plumbing, HVAC, and electrical systems.
As the Internet of Things grows, we will see more and more smart buildings and maybe even smart cities, all constantly connected as the receive and send data.
At first glance, you might think that drone use in real estate is just a gimmick. This is not true and we will not see them disappear. The fact is they help by creating multi-perspective visits and are very effective when it comes to creating emotional storytelling.
Drones offer aerial photography that would have been impossible in the past. They are particularly perfect for larger properties and homes. Agents can use them to present how the neighborhood feels and eventually, drones will be used to remotely tour properties.