Real Estate: We are in the midst of the digital era. Looking back at even a year or two ago, we can see the leaps technological advancements have taken in every sector across the globe. Are we digitally ready to fully embrace technology? The pandemic might have also played a key role in accelerating the age of digitalisation.
The UAE real estate market, in particular, has faced challenging times. Still, the easing of Covid-19 restrictions and the success of Expo 2020 have catapulted the UAE, particularly Dubai, to new heights. However, in this competitive market, it is easy for companies to lose the edge and become stagnant.
It is evident that digitalisation is key to the growth of many industries, and real estate is no different as the impact of the Covid-19 pandemic can still be felt. The need for digital transformation cannot be denied. With the implementation of digital technologies, real estate players such as developers, brokers, agents, investors, or managers embrace skills and culture change to meet evolving customer demands. Being connected has become commonplace in every part of the world.
Using technologies such as automated apartment matching through filled-in criteria, virtual 3D home space tours, online property rental and buying websites, enhanced online banking solutions for home loans, and contactless support are shifting how properties are purchased, sold, leased, and managed.
Also, commercial real estate is fully embracing technology as real estate companies provide more transparency to property owners where they can have an overview of their property through dedicated portals providing insights into energy, gas, and water usage, track needed maintenance, and much more.
Technologies in real estate
One of the most improved and game-changing technologies in real estate has been virtual reality provides potential renters or buyers an immersed tour of the property they are interested in. Busy lifestyles mean there is no time to waste, and people prefer the option of viewing properties virtually. An application that facilitates property search now provides 3D virtual tours, saving customers the drive and helping them narrow down properties they would like to see. According to Goldman Sachs estimates, the VR market in real estate alone could generate as much as $2.6bn by 2025.
For larger properties, drones are also making a mark by allowing viewers to look at every part of the property without effort. It also helps real estate agents map a property before putting it on the market.
Data analytics is another advanced technology real estate organisations use to manage the extensive amount of data captured through online sources. Furthermore, it also helps in producing more accurate property valuations.
Another technology in its nascent stage in real estate and one which is likely to be more widely accepted is blockchain. Using machine learning and robotic process automation to support data analysis along with complex data transfer applications will drastically advance the collection of structured and unstructured data alike. In this ever-changing industry, the capabilities of data repositories are evolving and are being enhanced by the application of artificial intelligence to make it more accessible and easier to grasp.
While the industry evolves and continues to grow, it is beginning to recognise that digital changes are inevitable and that changes will now occur in a much shorter period than before. The real estate sector will continue to embrace technological advancements, with key players acquiring assets and building digital capabilities to enhance profitability and relevancy. Digitalisation will no longer be a byproduct of forced change but a continuous process.
