As technology finds more and more applications in everyday life, it’s no surprise that the real estate industry is also affected by it. With the rise in popularity of PropTech services — a term referring to property technology and the digitization of services — the way we buy, sell and manage properties has been enhanced.
Through the portals of our smartphones or laptops, real estate has been simplified for both landlord and tenant — and made much more efficient. The following are some of the most revolutionary ways that PropTech has impacted the industry for the better.
How has PropTech changed the real estate industry?
Through the widespread acceptance of technological advancements to assist in the housing market and real estate industry, here are six ways in which PropTech has changed the way we view, rent, and sell housing:
AI and machine learning
AI technology is crucial to the success of PropTech in real estate by optimizing property search results based on preferences, offering 24/7 chatbot uptime for queries, automatically analyzing statistics, and removing the risk of human error.
In utilizing reliable AI technology, tenants and landlords can be confident that all housing information and recommendations are tailored specifically to the individual without the possibility of oversight.
Data and statistics
PropTech works to gather, analyze, and process data in regard to real estate. Property managers can use this information to allocate their properties most efficiently and make predictions about housing market trends.
For example, PropTech services can collect and analyze statistics about a specific property or housing area. This includes access to schools and marketplaces, crime rates, offender registries, neighborhood evaluations, mortgage rates, and any relevant histories.
With this information, landlords can easily and confidently help their tenants and expand their business.
Drones
One fascinating change in the real estate industry is the use of drones in house-hunting. Developers and tenants alike are able to benefit from the ariel viewing systems that come with drone footage, such as getting a feel of a neighborhood, taking a virtual tour, or spotting potential risks or maintenance issues.
Drones are also used to collect and monitor data from the air, through cameras, sensors, and GPS. Using a drone system saves the cost and effort of sending a person to collect such data and removes the risk of user error in computing.
Going green
Even by simply reducing the paper needed in real estate dealings, PropTech services are helping the planet. Reliance on more virtual interactions all but eliminates the need for office space and the carbon footprint left behind.
Because internet and digital technology do not require many resources to power it, emissions are not a damaging factor in using PropTech. In fact, PropTech services offer solutions that make the house-hunting process greener and ideas for setting up a more sustainable home environment once you’re moved in.
Taking into consideration all the other ways PropTech promotes greater sustainability, it’s easy to see how it has impacted the real estate industry positively.
Smart homes
PropTech can also be applied in the rise of Smart Homes. This type of housing utilizes intelligent tech to optimize efficiency and maximize the quality of life within the home.
Sensors can help with lighting, heating, and cooling, making these aspects completely automatic and working to save money by reducing excess usage. Smart Homes are likely to be the future of integrated PropTech buildings.
Virtual and augmented reality
While VR technology has been around for a while, it has more uses than in video gaming. A newly popular aspect of PropTech, virtual and augmented reality technology is excellent for making viewings, showings, and closings convenient and simple, no matter your location.
You can also interact with the AR system through user-friendly apps that will help customize the house-hunting process even more.
PropTech and real estate
The applications of PropTech have irrefutably changed the entire real estate industry for good. And it can’t come at a better time — as new renters appear in the market, looking for a place to call home, PropTech services make the house-hunting and rental processes easier than ever for all involved.
And with the trajectory of further research and innovation on the rise, PropTech will enjoy even greater advancements and application opportunities for the foreseeable future!