6 Disruptive Tech Trends in Real Estate Industry
Digital technologies have disrupted every industry. The impact varies from one industry to another. However, it is undeniable to conclude that real estate industry is one of the biggest stakeholders with remarkable developments. National Association of Realtors reports 48% brokers being unable to keep up with the pace of technology transformation. Nevertheless, ODTap shares the real estate tech trends that are redefining this industry.
This article shares the six most momentous trends in the real estate industry. There are occasional pieces of statistics and instances where these trends have been proved most successful.
1. AI Powered Listings
Hundreds of thousands of properties are listed on top real estate platforms like Realtor and Zillow. It would be impractical for users to search the entire index and find the suitable property. Personalization provides some help. It refers to the ability of app to share the most relevant results based on query search queries. Usual personalization options include intended location, price range, and types of property.
These digital trends in real estate are highly attractive because you can further filter the results to facilitate users by incorporating AI based features. Now apart from the filtered results, the system would also train itself depending on the previous search queries to show more relevant results.
Real estate marketplace becomes more meaningful when users are able to connect with the most appropriate peers. These peers can be buyers, sellers, and dealers. Thus, AI capacitates a real estate software system to operate as a social network as well. This intersection of marketplace and social network is referred to as “market network” in the tech circles.
A significant percentage of users employ same agent with whom they previously worked. Thus, development of market network would be more effective to assist users in choosing agents based on profiles.
2. Big Data for Advanced Analytics
Big data is becoming the center of focus for both corporate and public sectors. Real estate remains one of the pioneers and the industry is now at the forefront in utilizing this technology in property business.
The ability of big data to provide forecasts with incredible precision is what that makes it highly interesting. The analytics result in recommendations regarding the fluctuations in prices and the potential properties that are going to be attractive in future.
“Information is the oil of the 21st century, and big data analytics is the combustion engine” (Peter Sondergaard, Senior Vice President, Gartner)
Big data analytics are as good as properties of data including reliability, validity, and currency of data. Thus, you need to ensure that sources of data remain reliable and datasets are applicable to the current circumstances.
Although the users on app make up the primary source of data, yet you may also consider the independent social media channels like Facebook. SimilarWeb reports that Americans spend almost an hour per day at Facebook on average – precisely 58 minutes. Another set of statistics reveals that men and women click on 8 and 10 Facebook ads respectively per month. Thus, social networks serve as a decent data source.
Utilizing big data does not only train AI-based technology in real estate industry for pattern recognition but also facilitate your app users in choosing the right audience for ads.
3. Robotic Process Automation for CRM
The research and development in customer relationship management tools are causing a massive difference for the agents who are utilizing it. NAR reports that agents who employ CRM with RPA capabilities are far more likely to earn $100,000 or more commission than the otherwise.
Process automation tools are not only speeding up the job tasks but also enabling agents to attain a remarkable efficiency. RPA combined with machine learning technologies is even eliminating the need to keep human agents. Multiple experiments performed by independent firms confirm that an effective robot carries a far more probability to close a deal than human counterpart.
Also read: Real Estate App Development Tools
The utilization of these real estate tech trends would result in drastic reduction of cost while improving the relationship with customers. As mentioned earlier, data can be trained over the time to make intelligent strategic decisions. One notable example is to perform behavioral and psychographic segmentation of users to group the similar sets for effective marketing.
Since RPA is a part of AI and both go hand-in-hands with big data, a dashboard can be introduced showing the progress of your app. Such dashboards visualize data regarding, for instance, the number of new registered users, those abandoning the app, number of sales, and a wide range of other statistics.
4. AR Technology in Property
Most of the successful real estate professionals believe that augmented reality carries more potential out of all tools featuring in the lists of property management technology trends. It takes efforts and steps toward customer facilitation to a whole new level without spending as much money as on other options.
Using AR, your customers can virtually place objects at a physical location to evaluate the appearance ahead of actually placing the object. IKEA provides this ability to its users. Same AR technology can be used for real estate industry as well. Your customers can change the colors of walls and floor. In essence, AR real estate tech trends can also be vital in interior decoration.
There is a wide range of uses cases for AR in real estate. One notable case is the facility to take virtual tour to a property on sale without moving out of one’s house. Besides, the sellers can add information to any part of the house. This information would appear on screens of smartphones or tablets once the user holds camera against this part. The image above also demonstrates this ability.
Also read: Improve User Experience in Real Estate Apps
The number of brokers and agents with the ability to provide AR technology to users is immensely low. Thus, you can gain a remarkable competitive advantage over rivals by incorporating this technology in real estate industry.
5. Instant Communication Channels
A real estate listings platform is as effective as its ability to connect buyers and sellers. Most buyers are often hesitant to call the selling party despite the availability of contact details. Thus, the platform should also real-time chat among the two parties. Every visitor should be able to contact the party that lists a property.
Advertisers should be able to view the individuals who opened the ad. You may also add a module in your real estate app that shares visitors’ behavior. For instance, the app can provide the amount of time spent by a visitor and heat map.
Learn more: Real Estate Tech Industry E-Book
If you are a real estate agent, you would know the significance of quick response. A small delay in responding back to customers might halt an otherwise massive deal with amazing opportunities. Chatbots are playing a crucial part in such circumstances.
Research and developments in AI and RPA are enabling chatbots to become more intelligent than ever. They are now capable of responding to queries as good as humans. At multiple occasions this real estate technology proved to have outsmarted humans.
ODTap has successfully developed chatbots for its clients that are capable of self-teaching. In essence, the bots train themselves using machine learning algorithms to constantly improve natural language processing.
6. Blockchain Integration
Although still in its rudimentary stages, yet Blockchain is one of the most influential future trends in real estate. The implementation of this technology in healthcare and logistics industries proved remarkable as businesses have been able to optimize their operations significantly.
Real estate industry is also adopting Blockchain on a large-scale. Two most attractive use cases include tokenization or smart contracts development and payment verifications. Smart contracts refer to digitization of physical assets. This technology eliminates the need to perform lengthy paperwork. Instead, it develops instant contracts with highest transparency.
Smart contracts boost liquidity associated to every asset by preventing the old-school process for property sale. You would attain a drastic drop in the accumulative cost of transactions when Blockchain tokenization is implemented.
Blockchain provides far more transparency to each stakeholder. The probability of data breach considerably decreases because each block remains immutable. Besides, the stakeholders do not have to wait for days and months to ensure payment verifications from all parties including regulators.
Many emerging real estate technology startups are implementing Blockchain in real estate. Propy is a noteworthy real estate platform which uses Blockchain to enable customers sell property as easily as liquid assets.
ODTap is working with a number of real estate agents and construction firms apart from on-demand startups to provide technology support. Our experts love to take on new challenges and work on innovative ideas. We would love to work with you to redefine the future of real estate technology. Contact us today.