Technology changes fast. In a competitive industry, there’s always someone looking for new ways to get an edge over their competition by doing things better, faster, or just different.
Enhancing the customer experience with proptech such as IoT (the internet of things), convenient on-the-go apps, and virtual and augmented reality scenarios are three advancements the real estate industry uses to make its clients’ lives easier. Keep reading to learn seven cool new technologies real estate agents use to offer their clients innovative ways of finding their dream homes.
What is Proptech?
Proptech (also known as Retech, RealTech, Real Estate Tech, or Estech) stands for “property technology.” It refers to the tools, platforms, websites, software, apps, and other solutions that the real estate industry uses, from appraisers and brokers to construction managers and architects. Proptech encompasses CREtech (commercial real estate technology) and Contech (construction technology) and extends to Fintech (financial technology).
How Does Proptech Impact the Real Estate Industry?
Proptech impacts the real estate industry by improving and facilitating various real estate activities, such as:
- Buying
- Selling
- Managing
- Leasing
- Marketing
- Appraising
- Financing
- Designing
- Developing
- Building
- Investing
7 Cool New Technology Trends in Real Estate
The real estate industry didn’t allow COVID19 to slow its success despite social distancing, lockdowns, and limited personal interaction. To say the least, homes were selling at record prices, with bidding wars becoming all too common. And we have technological advancements to thank for that.
From online property tours to digital closings, proptech has transformed the real estate process from manual in-person visits to one you can do almost 100% virtually. And this trend isn’t just for young, tech-savvy first-time homebuyers either — according to the National Association of Realtors, 97% of homebuyers of all ages use the internet when searching for a new home.
Here are seven cool new technology trends that make buying and selling your home easier.
Trend #1: Analyzing Big Data
Big data refers to the examination of immense amounts of data from different sources like:
- Social media content
- Mobile apps
- Email and survey responses
- IoT connections
- Cloud apps
- Web server logs
- Internet history
This data uncovers market trends, consumer preferences, and hidden patterns to help people make more informed decisions. The real estate industry uses this technology to gain insights into areas such as:
- Neighbourhood demographics
- Future price fluctuations
- Risk management
- Interior decor trends
- Desired outdoor features
Analyzing big data offers you a more enhanced and personalized home buying or selling experience.
Trend #2: Mobile Apps
We do everything on our phones these days; why should buying or selling a home be any different? The average smartphone user uses at least nine apps daily and 30+ apps per month. With over 3.48 million apps available on the Google Play Store and 2.22 million on the Apple App Store, it’s never been easier to buy, sell, and browse homes or find a real estate agent.
With mobile apps, buyers can look for properties and meet sellers virtually rather than waste time on houses they wouldn’t even step inside had they gone in person. This makes the entire home buying and selling process more accessible and transparent, especially for people on the go. There are even apps available for designing fast yet accurate floor plans that you can add to your house listing to give buyers a better idea of your property’s layout.
Trend #3: Artificial Intelligence (AI)
AI uses computer systems to perform tasks that would otherwise require the help of human intelligence. Using AI and machine learning in real estate can automate the home buying and selling process and fast-track decision-making. Finding, viewing, buying, and selling homes has never been easier or more efficient than with the help of AI.
Your realtor can access home information quickly, and the data associated with the home makes it easier to predict the home’s market value. It also saves time. Your realtor can seamlessly tailor search results according to your preferences, such as home trends, location, value, location, and neighborhood. This innovation turns raw data into actionable information to enhance your experience and the entire real estate process.
Trend #4: Internet of Things (IoT)
IoT is the use of devices and appliances that continually send and receive information to one another in real-time, around the world, through a cloud connection. This technology doesn’t require human action.
Proptech uses IoT to create smart properties that seamlessly integrate the virtual and physical world. For example, home devices now contain sensors for predictive maintenance that alert homeowners and property managers about potential problems. These proactive alerts help increase energy efficiency and save money by improving the efficiency of your HVAC system and lighting.
IoT also makes your home safer. With IoT intercoms, your data is encrypted, making it significantly harder for hackers to access. They also store videos which can be helpful for suspicious activity around the property.
Installing home devices and smart appliances can dramatically increase the value of your home when it’s time to sell. Not only do smart homes increase how much your property is worth, but having innovative technology already installed is more appealing to the younger generation looking to buy a home.
Trend #5: Drones
Drones are small, remote-controlled aircrafts that take photos or videos while flying. Drones are the latest trend in real estate and are driving interest and attracting buyers because they can take a high-tech aerial view of any property.
Drone pics add to the virtual experience and, at the same time, offer a bird’s eye view of areas you wouldn’t usually see, like the condition of roofs, eaves, and chimneys. These pictures are invaluable because they can help you and your realtor negotiate prices. Drone footage also provides you with a full view of the parameters of the property and the different landscapes within.
Trend #6: Virtual and Augmented Reality
Virtual reality is an artificial environment created by software. It is presented to the user through sight and sound to make them feel like they’re actually in the artificial environment. Augmented reality adds computer-generated images to existing surroundings. Combining these technologies in real estate allows you to seamlessly tour houses without actually being there, no matter where you are in the world. When you virtually visit a home, you can visualize exactly how you would make it yours.
Virtual and augmented reality in real estate saves you time by eliminating the need to visit every property you’re interested in physically. It also enhances your experience by making the real estate process easier and more personalized to your needs. In addition, it saves money by cutting back on costs for staging your property, and because there’s no travel involved, it extends the global reach of your home.
Augmented reality superimposes images and creates realistic architectural images to help you visualize a property even before building the home. Now that’s transforming the online property buying experience.
Trend #7: Building Information Modeling (BIM)
BIM refers to networking information regarding architectural blueprints, construction, and engineering diagrams of a property. These separate industries can now extract, exchange, and share their plans for the same building while avoiding significant mistakes like miscommunication and building errors that were made in the past. Fewer errors mean more efficient and faster completion times, which is essential in constructing new real estate.
Interested in Using the Latest Technologies to Help Buy or Sell Your Home?
Whether you’re buying or selling, it’s essential to partner with someone who represents your interests. That means paying attention to every detail, keeping you updated at every turn, and working diligently to get you results. It also means using the latest technologies to make your life simpler.
The real estate process doesn’t have to be overwhelming. Expect more from your real estate experience with Joel Cooper — an agent who puts you first.
How can I help you today?
Hi, I’m Joel, a real estate professional based in Toronto.
My approach is simple—I put you first. I believe in open communication, total transparency, and meaningful results. I’ll guide you through the real estate process, market values, and always keep the focus on you—and your needs.