Although two decades ago, real estate and technology were uncorrelated industries, with the latest advancement we’ve seen a gradual shift towards a symbiotic relationship. More specifically, real estate can benefit from advanced technology and the technology can advance more rapidly as real estate develops.
I’m Ofir Eyal Bar and with years of experience in real estate investing, I have learned to rely on the potential of technology to innovate and generate opportunities in real estate. Today I want to discuss some of the ways these two separate industries seem to be colliding and merging. If you are someone wanting to invest or looking to buy a property, the information could be highly valuable.
Real Estate and Artificial Intelligence
To start, our first point focuses on artificial intelligence and how it had managed to impact the real estate industry. AI had been transforming how real estate operates and realtors had embraced revolutionary techs such as the Internet of Things, Virtual Reality, or Machine Learning. Technology is not only integrated into the property, as we’ll see in our next point but at the same time, investors and agents are using it to reduce operative costs and provide better customer services.
Some tech implementations might have seen impossible a few years back. However, now we have investor analytics, or advanced software able to help property investors evaluate risk based on a series of parameters. AI is used for deal matching, which is the process of creating a dashboard where buyers can set criteria for the property they want. They are informed when a property matches their benchmark, reducing the time needed for real estate research. Intelligent search platforms are also trending among retail home buyers because they can speed up the process to find the perfect house. Construction automation or property management are the other two areas where AI continues to gain traction, since it can help build better real estate assets, with more efficient spending. Using drones for topographical surveys is another important use of advanced tech in real estate since it can improve how to effectively build smart cities.
Smart Real Estate
Using technology to build and sell real estate has a major impact, but so does integrating technology into the estate to help people keep track of all the processes running at any point inside their house. All devices can be connected to the internet via communication protocols like KNX, enabling energy efficiency, and ultimately an increase in the comfort level. We all want to feel happy at home or the office since that enhances our state of being while also can increase productivity.
The “smart home” concept is increasingly popular in 2020 and should continue to be, considering we’ll have faster internet, more efficient energy consumption, and technology integrated into all the electric tools we are using.
Technology for Real Estate Investing
Becoming a real estate investor is much affordable and convenient now that there’s so much information online. At the same time, investors have plenty of tools to help them make the best investing decisions. I, Ofir Bar, can tell you that when I got started there weren’t so many opportunities. Someone wanting to start now has a wide range of opportunities. If he/she can’t invest in physical real estate, it can buy REITs shares on the stock market and thus gain exposure, from the comfort of the home, without having to travel all around the world.
Investing in foreign markets provides a more diversified risk and the ability to profit from rising real estate in different parts of the globe. This would not have been possible without the technological developments and it’s a process that has a lot more to go as new technologies can improve the market.