5 Ways Technology in Process Digitization Is Evolving the Real Estate Industry
Just like in any other industry, real estate also requires constant adoption of new technologies to keep up with consumer demand. Technology on both the customer and realtor end in commercial real estate plays a primary role in accelerating the buying and leasing processes. At its best, technology promotes online accessibility, which is essential in the millennial world. Statistics show that up to 99 % of millennial buyers go for the digital experience in every walk of their lives, and their online home search is inclusive. However, keeping up with technology has proved challenging. Notably, according to the 2019 survey by the National Association of Realtors, up to 44% of companies encounter various technological hurdles.
Players in the real estate industry are embracing technology, thanks to the devastating effects of the current COVID-19 pandemic. Federal and inter-state restrictions such as social distancing and other temporary executive orders represented the long-awaited tipping point for and end-to-end digitization of real estate. Currently, a noticeable turn-key panacea to the mortgage industry includes the Remote Online Notarization (RON). With the flexibility of the various RON approaches, digital flexibility, and continued innovation, the mortgage industry digital evolution is still unfolding.
Trends in the Real Estate Industry
Property Technology organizations are busy innovating or keeping up with real estate trends like augmented technology, iBuyer model, and big data to meet the current market niche. ProTech solves several pain points of commercial real estate. Indeed, Process automation is an essential driver at the survey, transaction, and management level. Here is how technology has changed and taken the industry to the next level. Here we go!
Automated Property Management
Online presence of real estate companies has also evolved the listing of their properties. A client can easily find the property listing online with a single search query. Most realtors incorporate augmented reality as the property management level to give customers a 3-D tour for the property. Besides the tradition, google maps and property photographs, AR enhances the view by projecting the property floor plans.
Automated Business Processes and Workflows
Digitizing paper-based transactions facilitates the business processes for realtors. Currently, a seller can receive a digital document with a verifiable digital signature in up to 37 minutes thanks to many technologies in document management. Most real estate services have now migrated to a centralized platform. Processes such as tracking constructions, renewing leases, and accessing property details are accessible through a single platform. Automating processes enhances efficiency when it comes to workflow. The real estate ProTech software developer’s primary role in the current generation is to have a system that all remote access to important documents and consequently facilitate all contractual processes in a single platform.
Digital Marketing for Properties
Before the advent of technology, real estate marketing was solely a task for real estate agents. The current generation’s niche has shifted online, with 47% of companies in 2018 acknowledging that they obtain the highest quality leads from social media. The current trend for commercial realtors is to increase their online presence.
Digital Analytics for primary services
Core services where analytics is essential in the real estate industry to include hold or sell analysis, property sales, project profitability, and cost of materials. Every real estate investor wants accurate data that can promote effective decision making and consequent profitability. And so, the need for an integrated system that can identify and analyze this key data is essential for the success of the businesses.
The current trend in real estate data analytics in the introduction of machine learning in decision making. Big Data is the key trend in an industry that requires a tool and can identify key data points, analyze massive data sets, and effectively interpret that data.
Automated Accounting and Financial analysis
Another trend that uses algorithms is the iBuyer model. Here realtors can use technology to find properties they can buy and resell at higher prices. Technology is redefining how people transact in the commercial real estate industry. Most realtors use a centralized online financial analysis and accounting system that automates essential processes such as taxation, budgeting, and procurement. The system controls costing, notifying relevant authorities to maintain optimal cash flow for the company.
On the bottom line
Tough times call for innovation. Technology in various business processes is a key ingredient in the growth of the real estate industry. Technology in the core business activities in real estate companies results in improved services, valuable leads, better communication, and effective management. And so, every player in the commercial real estate industry must strive to keep up with the current business trends to keep their business competitive.