Digital transformation in the real estate industry is on the rise. Since the pandemic, the real estate industry has had no choice but to speed up the process of digital transformation in order to adapt.
The significance of digital transformation in the real estate industry and the newest trends that will soon rule the market. In 2022, it's anticipated that the Malaysian real estate market would recover as more people look for more inexpensive housing, according to Mordor Intelligence.
Due to the possibility of strong demand for residences among the young population, developers are cautiously enthusiastic about the prospects for real estate in the medium to long term.
To keep up with the escalating needs of the industry, real estate companies and brokers have been pushed to adopt a number of new technologies as customer behaviour and technology evolve.
As businesses increase their reliance on technology, they face ever-growing real estate challenges. What’s kind of the challenge in the real estate industry? And what kind of technology solves the challenge in the real estate industry?
Tech challenges in the real estate industry
Here are the real estate technology challenges from some experts, according to Forbes.
1. Data Security
The most significant challenge in the real estate industry while using new technologies is data security during data migration. You must consider how to remove and transmit datasets incompatible with new technology and how to transition into a modern data centre gradually.
2. Security of Technology
Digital transformation can put you at risk for a cyber breach. It is linked with the financial, operations, emotions, and reputation. Hence, you must ensure the technologies you use are as secure from cyberattacks as feasible.
Further, ensure your conduct when using technologies is cyber secure, as most cyber breaches result from cyber in secure actions.
3. Losing face-to-face communication
Well, we know that losing face-to-face communication can be a problem. It doesn’t need to give up interpersonal interactions when using technology. Keeping all high-value transactions in-person, educating real estate agents, promoting adoption, and humanising tech transactions can solve the loss of face-to-face communication.
4. Employee Buy-In
The majority of us collaborate and work in teams. Sometimes it's necessary to educate and gain the partners' support before implementing new technology. Discussing and sharing information is essential for it to expand.
Sharing and discussing information will encourage widespread adoption, enabling the base as a whole to expand. Additionally, it will streamline related technologies rather than duplicate similar operations.
5. Workflow and data integration
The main barrier to advancement is getting your team to adopt new technology. Make sure new technology solves an issue for your team or your clients before introducing it, and then weigh your options.
Purchase the version that combines your current data and workflow the easiest and is the most intuitive. train after that train. Offer ongoing assistance through tutorials or a designated support person.
6. Lack of interest in learning new systems
Because of their reluctance, realtors are unaware of the ways in which new technologies might make their jobs easier.
They don't want to use any new technology because they are so accustomed to their current procedure. In order to combat this, companies need to understand how much new technology will aid them and how they may use new tools and processes to do more in less time.
After knowing the most challenging in the real estate industry, let’s jump into the technology that can be implemented with those challenges. Here are the details.
How to solve the real estate technology challenges
1. Mobile Apps
Mobile is one of the most effective technologies in use in the sector; examples include the creation of various real estate mobile apps. Mobile platforms for selling and buying are the most common.
Compared to the conventional methods of finding an apartment or house, these apps have a number of benefits for potential renters. The regular updating of databases allows for more timely information on newly listed properties and those that are no longer accessible.
2. Big Data
One study from McKinsey showed that machine-learning-based real estate systems can anticipate changes in rent rate with 90% accuracy, but only 60% accuracy in changes to other property variables.
That effectively enables clients to decide between non-commercial and commercial properties as the best investment for their money.
The massive amounts of data collected about customer preferences are stored in databases and the data cloud.
3. 3D virtual tours
Buyers can take a virtual tour of houses while choosing a solution to buy a house. It saves time and money by avoiding the need to visit numerous homes, many of which can be eliminated from the buyer's list of potential acquisitions through virtual tours. Virtual tours are one of the main digital trends in real estate.
4. Conversational AI
Customers who use real estate software anticipate the finest possible support and usage. In addition to having a near-zero error rate and a response time available 24/7, contact channels must also be accessible. This can be an option for you to use AI to give the best service to your customers.
5. Internet of Things (IoT)
The way we live is changing in numerous ways such as home automation, and other objects. One of the main developments in the real estate industry is the proliferation of smart devices, which IoT generally drives.
The IoT is the process of incorporating sensors and computing technologies into many objects we use daily. Giving people a more comfortable and enjoyable existence is the ultimate purpose of this technology.
6. Software applications
The correct software may significantly simplify the work of real estate professionals. Software selection may be rather difficult. From handling sensitive data securely during document signatures and agreements to selecting an email marketing platform to create leads for your company.
Understanding your own demands and those of your clients is important when choosing a real estate software application, and you should test some options before settling on one.
Wrapping Up
The world has already been transformed by technology. Their significance is critical for several industries, including real estate. We anticipate that technologies for the real estate industry will gain popularity over the coming years.
Any real estate problem you may have can be solved by us at VirtualSpirit. In accordance with your needs, our team of experts will create a solution and help you implement the newest technology for your company.
