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How is technology changing the real estate industry?
5 ways technology is changing the real estate industry
The real estate industry has undergone a significant transformation due to technological advancements, making tasks more manageable for agents, investors, homeowners, lenders, and property managers. Companies such as Ekta Real Estate have taken advantage of the potential of blockchain technology and have implemented it to streamline antiquated processes in the industry. By integrating new technologies, we can accelerate transactions, funding, and sales, streamline documentation processing, and lower the barrier of entry for more people, to ultimately increase efficiency.
If you’re looking to expand your knowledge and become an expert in real estate in 2023, you may be wondering about the latest technological developments that can help you achieve your goals. This article explores five technological developments that are improving the real estate industry.
VR Home Tours
One of the technologies that have gained significant traction in recent years is Virtual Reality (VR) home tours. Initially, the pandemic accelerated the adoption of this technology as people sought ways to view properties without leaving their homes. With VR tours, buyers, sellers, and agents can experience properties digitally and get a feel for the atmosphere before making in-person visits. Additionally, landlords and short-term rental hosts are increasingly using VR tours to showcase their properties and attract clients. The technology has even extended to the hospitality industry, where guests can take VR tours of hotels and other accommodations before booking.
Digital Twins are a fascinating development in the real estate industry, enabling the exploration and study of properties through the use of data generated online. By utilizing data from IoT and sensors, a 3D digital model of a property can be created, providing a comprehensive view of all its features. The benefits of digital twins are numerous, including the ability to predict how a building will hold up against environmental conditions, as well as aiding in the creation of fire evacuation plans.
As cities in the US are increasingly seeking to build digital models of themselves to enhance planning and services, it is no surprise that the real estate industry has also taken notice of this technology. At Ekta Real Estate, we are always on the forefront of emerging technologies, and we recognize the potential of digital twins in providing our clients with a more in-depth understanding of properties they may be interested in. With this innovative technology, we can provide a more immersive experience for our clients and a deeper understanding of the properties we represent.
Customer Relationship Management Software
Real Estate CRM Software has become a crucial tool for managing a successful real estate business. From tracking emails and leads to managing contracts and keeping tabs on the progress made with possible leads, a CRM software can significantly increase the efficiency and productivity of a real estate business.
The trend of using CRM for property websites has been around for some time, but with the rapid advancement of technology, it is expected to take a massive step forward in the real estate industry. With the help of AI and machine learning algorithms, CRM software can now provide personalized recommendations to clients, streamline communication between agents and clients, and even predict market trends.
AI and ML Technologies in Real Estate
Artificial intelligence and machine learning are transforming the real estate industry by analyzing data to evaluate property value, predict market trends, and even decorate properties. With the help of statistical models and big data, this technology can make more accurate predictions not only about real estate prices but also mortgage rates and consumer behavior. By leveraging these insights, real estate agents can be better prepared to take advantage of market trends and make smarter decisions that lead to better deals.
In addition, AI can also be used to customize the interior design of properties to the preferences of potential buyers. By asking questions about a buyer’s favorite colors and styles, AI can virtually decorate a property to meet the buyer’s vision. This technology can create a more personalized experience for buyers and increase the chances of a successful sale.
Blockchain Technology Adoption
Blockchain technology has the potential to revolutionize the real estate industry, providing much-needed security, transparency, and efficiency to transactions. With this shift towards digitalization, and our extensive experience in both blockchain technology and traditional real estate, Ekta Real Estate is one of the companies leading the charge. Predictions indicate that we can expect to see blockchain technology being adopted more widely in the industry, and it can be applied in four main ways:
- Tokenization: This involves using cryptocurrency to divide assets into tokens that are stored on the blockchain. Tokenization in real estate offers many benefits for various participants, including enabling people from different locations and income levels to invest in properties. Property owners can also sell only a portion of their property, making it easier to liquidate their assets.
- FREMs: FREM is an acronym for “Fractions of Real Estate Management,” and forms the foundation of our approach to offering properties in fractions. This innovative concept from Ekta Real Estate allows investors to own a fraction of a property, reducing the financial barrier to entry and providing greater flexibility and accessibility to the real estate market. By breaking down the ownership of a property into smaller, manageable portions, more people can invest in real estate and reap the benefits of property ownership.
- Smart contracts: These contracts are agreements that can facilitate transactions between buyers and sellers. Smart contracts can speed up the process of property acquisition, verification, and even property searches. Imbrex, a company that specializes in real estate technology, plans to launch smart contract-enabled transactions using its own cryptocurrency.
- DAO: The Ekta Real Estate platform has a unique feature where each property listed has a DAO or Decentralized Autonomous Organization. The DAO is a smart contract that governs the property by allowing FREM holders to propose and vote on ideas for the property’s best interest. FREM holders are responsible for actively participating in proposing and voting during a given period set by the listing property owner. This engagement is crucial, as it determines their earnings, which come from the revenue pool generated by the property. This approach eliminates the need for third-party involvement and removes the label of securities, making fractional purchases more accessible. By providing a service through their active participation, FREM holders can qualify for earnings from the listed properties.
The real estate industry has traditionally been slow to adopt new technologies, but with recent advancements in blockchain and other digital technologies, we are seeing a shift towards a more tech-driven industry. Blockchain technology has the potential to revolutionize the real estate industry by providing a secure and transparent platform for property transactions. This can make real estate investments more accessible to a wider range of investors, creating a more inclusive market. In addition, the use of artificial intelligence and machine learning can lead to more accurate property valuations and predictions, giving investors and agents a competitive edge in the market. As technology continues to evolve and improve, we can expect to see even more innovation in the real estate industry, transforming the way we buy, sell, and invest in property.