The basic definition of real estate has evolved and is now going beyond the confines of four walls to give the end user a whole 360-degree experience. There is no denying that the real estate market has been greatly impacted by the shifting demographics of homebuyers in recent times. Technology has made it possible for the real estate sector to realise its full potential by being driven to use digitalisation and technology tools like Artificial Intelligence (AI), Augmented Reality (AR), Virtual Reality (VR), big data, and analytics. Smart houses and automation using the Internet of Things (IoT), AI, and other technology trends are on the horizon for the industry.
Research indicates that in just 2019–20, about 50% of the housing segment’s inventory was sold online. This data demonstrates a significant shift in the real estate industry from offline to online. Here are some trends that will influence the sector’s growth as it ushers in a new era of new technologies:
Technology underlying the metaverse
Instead of depending on pictures and subpar videos, prospective buyers who live abroad and across the country would be able to see a virtual representation of the house in the metaverse and enjoy a similar experience to customers who visit in person. Buyers would no longer need to make exorbitant and tedious excursions to choose the next house because they could visit as many as they want inside the metaverse and get a highly realistic impression of what it would be like to physically walk about in it. Since the pool of potential buyers is significantly increased by metaverse VR/AR technology, the real estate agent would also profit from this. A number of services offer simple digital wallet payments, the chance to purchase real estate through the metaverse, and customers now have the option to purchase real estate using cryptocurrencies in the form of non-fungible tokens thanks to the real estate metaverse.
Machine learning & Artificial Intelligence
The real estate industry is adjusting to the data-focused strategy and progressing with the creation of client segments for the application of AI. They are using AI to assess client behaviour and monetise the services in accordance with those needs. The integration of artificial intelligence and machine learning solutions is assisting real estate organisations in monitoring and eliminating construction deviations that impede infrastructure progress. An example of an AI product is Alexa for Residential. For communities and residential buildings, it aids in the deployment and management of devices and experiences. Thus, the process of managing properties is made simpler and more efficient. AI is also capable of developing contactless processes that provide customers and staff with a secure environment.
Big Data is transforming real estate
The ability to detect subtle yet significant differences between areas is one of the key effects big data is having on the real estate business. For instance, big data has shown the crucial distinctions between city blocks, zoning laws, price growth, future infrastructural projects, and crime statistics and collected information including real estate transactions, relevant legal documents, and geospatial data. Real estate developers may now more easily gather data, evaluate client behaviour, and see a clear picture of growth for their quarterly statistics on project collection and construction status. Another change is the ability of businesses to generate forecasts based on information from social media, search engines, and other ‘non-traditional’ sources owing to alternative data. Many businesses are using this kind of data to develop algorithmic models and predictive studies that forecast future patterns in investing, buying, and living. In the near future, big data is predicted to experience new developments that will increase value for both current and future participants in the real estate ecosystem.
3D printing
Modern real estate technology has paved the way for several innovations, including the abolition of conventional business models. The real estate industry will likely adopt a number of innovations in the near future, including 3-D printing and the pre-fabrication of building components. The first 3-D printed house in India was recently opened by the honourable finance minister at IIT-Madras. This is a crucial first step toward the future revolution of the affordable housing market in the real estate sector.
These technological advancements will create more opportunities and boost organisational resilience. The regularity of these initiatives will clear the way for the industry’s expansion and the transformation of the customer experience.
