The growth of technological innovation and advancement which have happened in the last couple of years impacted every industry and the sector and its dynamics.
The real estate industry in India has also been influenced by the effects of this technological revolution.
Today most businesses are operating in a dynamic environment and require technological capabilities for scaling up their businesses. The real estate sector is no exception to this evolution happening in the ecosystem and it has become imperative for the industry to align technology with their day-to-day operations to successfully leverage and provide solutions to the customers.
While this technological revolution happened a bit late in the real estate sector in India compared to other sectors, it has embraced technology in a big way.
In light of this, the five most profound ways in which technology is changing the Real Estate industry, are:
The construction sector has witnessed a lot of innovations in terms of a wide range of dynamic building structures, which are specialized to be water-resistant, flame-retardant, and safeguarded against elements of nature along with earthquakes and other natural disasters.
Besides, the widespread development of construction technology has enabled the speed up of the process, lower the overall cost of development, and driven business making investors from both domestic and international markets invest in the market.
These technologies have been able to fulfill the growing need for environmental sustainability. There is aerogel technology which acts as an insulating material for buildings and is super light from the construction perspective.
Builders in India are using technologies like virtual reality which is changing the issues which were involved in the building and selling of real estate properties. It offers a great environment by making buyers walk through spaces before they are built and empowering them to look and feel areas and finds their feasibility.
A virtual image also makes it easier for buyers to explore various design options at their convenience and explore various layouts, change fixtures and fittings and try out different interior designs. This has significantly impacted the engagement of the buyers with the design process enhancing customer experience and satisfaction.
From the builder’s perspective, realistic explorations of to-be-constructed buildings can also provide potential risks by reducing chances of wastage in terms of money resources, and time and preventing health and safety hazards.
The potential impact of Blockchain, Artificial Intelligence, Machine Learning, and Big Data technology on the buying of real estate property due diligence by the customers is going to be significant.
As it is a secure and ingenious process of passing information in a fully automated and safe manner, real estate transactions going forward will more become transparent and will make all the stakeholders accountable for their actions. Besides, there are Mobile Apps that will notifications about new properties and listings keeping the profile of the customers along with quick access to agents and property managers.
There are new platforms that have come into existence to complete multiparty real estate transactions by making the customer save time and stay organized. Starting from secure and legal e-signatures to personal task lists to simple file sharing, this new technology is helping to improve efficiency and making agents respond to their clients in an organized manner.
The marketing landscape of real estate products has completely changed as a result of the technological revolution. Earlier, the marketing used to be based on hoardings, pamphlets, and other forms of physical along with a word of mouth amongst potential buyers.
The scenario has completely changed today. A wide range of marketing tools is available today that help in enhancing the brand and the products. Digital marketing and branding, PR, and other forms of communication are used for brand building.
Real estate marketing portals also provide a wide range of values including market dynamics, customer analysis, and, projected trends to make the customers take the right decisions. This process makes the developers and brands reach a much larger target audience at various locations.
PropTech has completely changed the dynamics of the industry and the way it operates now. It is the most talked about innovation that has created a new disruptive force in the sector.
It covers all the technological tools which are used by real estate professionals to optimize the purchasing, selling, researching, marketing, and management of properties for the customers like Building Automation, Artificial Intelligence to ensure improved market access, marketing, using Augmented Reality (AR) and Virtual Reality (VR) for marketing and site visits. PropTech has led to improved asset returns, reduced friction, and greater transparency in the business.
The real estate sector is witnessing a paradigm shift aided by the implementation of AI & launch of 5G. Interestingly, it continues to rise even in the post-pandemic scenario where companies are increasing their digital investments and collaborating amongst themselves which will ultimately result in shifting the focus from traditional developers to new-age developers who are embracing technology and having end-to-end capabilities for the ever-changing needs of the customers. The real estate players will gradually evolve and innovate their portfolios or form strategic alliances to survive and thrive in the impending future.