Real Estate Tech: What to Look Out For in 2020
Technology is influencing almost every industry and real estate is no exception. Speaking of digital transformation, real estate tech has changed the way real estate agents communicate and market their services. It has also significantly impacted the way homebuyers look at the market for options.
While digital transformation hasn’t been so rapid in real estate, 2019 saw the adoption of buzz-worthy PropTech that helped both sellers and property buyers. From AI personal assistants, virtual tours of prospective homes, and provision of an on-demand inspection via prior booking systems.
2020 opens a new decade and the real estate industry is expected to embrace more real estate tech. Here are some top digital trends to keep an eye out for in 2020.
Big Data Management and CRM
Big data refers to vast sets of data used to identify trends and patterns of human behavior. In the sphere of real estate tech, big data can be utilized to predict customer purchase intent and behavior. It also helps predict market conditions, a customer’s past associations and buying perspectives that help a business understand a buyer’s sentiments.
In the real estate sector, the analysis of big data often involves the use of Credit Relationship Management (CRM) tools. Some of the best CRM systems can show when a prospective customer visits your website or listings.
The system collects visitors’ data based on what they’re browsing on your site. Such insights can be used to forecast when a prospect might be buying or selling an investment property. Similarly, the information can be used to forecast prices and predict customer behavior for effective real estate marketing and customer management.
Blockchain technology is behind cryptocurrencies such as Etheurum, and Litecoin, and Bitcoin. This digital public ledger lets you purchase property without needing verification from banks and other bodies. By cutting off the middleman, this real estate tech helps reduce legal and title-related expenses and hastens the settlement process.
The first property sold on blockchain technology occurred in 2017. Since then, many blockchain real estate startups have sprung up.
Although this technology is often regarded as an online-based real estate market, it has more to offer to the industry. The good thing, cyber-attacks and financial scams are kept at a minimum. Thanks to the fact that no single authority holds your transaction records.
For the reasons, in 2020, you can expect blockchain to be applied widely in asset management and real estate. So, expect more real estate properties to be sold using cryptocurrencies.
Virtual Reality (VR) and Augmented Reality (AR)
While it remains a new technology, the introduction of AR and VR in real estate marks a breakthrough for home buyers and real estate agents.
AR combines VR and real-world content. The technologies can help by allowing you to get the feeling of touring a property without even visiting the chosen property. No matter the part of the world, agents and constructors can use AR to showcase works in progress.
With real estate properties being open for inspection 24/7, agents and buyers can save time and money while enhancing efficiency and engagement. These technologies can prove effective techniques to be used in real estate marketing.
Although there’s no extensive use of AR apps in real estate yet, 2020 is a good year to start. Industry experts forecast buyers will increasingly use the technology to view homes. The real estate VR market will reach 2.6 billion in 2025. This has the potential to influence the future of real estate tech.
Internet of Things and Smart Homes
The Internet of Things (IoT) and real estate form an inspiring blend. Considering that Gen Z and the tech-savvy millennials are increasingly taking over the property market, smart homes are now the new home trends that these groups of people want to invest in.
This real estate tech (IoT) allows sensor-equipped devices, including items like thermostats, lighting systems, curtain walls and electrical outlets to connect to the internet and perform smart functions.
Among the benefits that the real estate sector will derive from integrating IoT in homes include predictive maintenance, convenient property showing, and increased energy efficiency. The effective use of IoT in homes is currently a universally competitive advantage. Smart homes that incorporate IoT often attract a higher market value.
As far as the property market goes, automation remains a significant technology trend whose importance can’t be stressed enough. By automating routine communication and administrative tasks, agencies will free up their time to focus on other essential aspects of their business.
Better yet, automation has become an easy-to-understand real estate tech. The cost of automation significantly reduced in 2019 across a wide array of platforms. No wonder it’s set to continue into 2020 because real estate agencies are always searching for ways to minimize overheads without negatively impacting their businesses.
The real estate tech comes to play when performing business tasks invoice processing, email marketing, property accounting, posting on social media, and online customer support.
Cloud-Based Property Management
One of the popular trends in the digital real estate tech sphere is the use of cloud property management software. Cloud-based systems allow tenants and property owners to login and retrieve their property and financial information from any place at any time.
Leveraging this technology for tenants to check whatever they want minimizes the amount of communication between property owners and tenants. You won’t need to make telephone calls or write emails anymore, which should contribute to positioning your business ahead.
Look Out for Real Estate Tech Trends
While property selling, buying, or renting will remain a physical affair, the future of property business transactions is becoming digitized and mobile. What’s more, 2020 is expected to draw a clear line between estate agents who’ll come out ahead and those who’ll lose.
To achieve a competitive edge in the crowded market, adopt real estate tech trends early. These technologies can help free up your time, improve customer experience, increase leads, and more.
For more information on tech trends, check out the news section of our website today.
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