It has been a while since technology ceased to be simply an auxiliary tool designed for specific individual tasks and became an essential element of our day-to-day personal and professional activities. In a short space of time, the union between technology and traditional sectors has transformed the way we communicate in a constantly evolving marketplace, and the real estate sector is no exception. Proptech (property technology or real estate technology) has emerged through a combination of real estate infrastructure, market habits, transactions and technological development.
The term proptech refers to adding a technological component to a business model, resulting in technologically innovative products and new business approaches to the real estate market. This innovation represents the transformation of the industry, and it is predicted that the technological changes will influence consumer mentality, the operation of construction activities and real estate transactions, creating cities of the future. Specialized companies are and will continue to revolutionize the real estate market, making it more digital, in constant growth and with new consumption standards.
All over the world a wide variety of companies are using big data technology to process information; from real estate management platforms to real estate investment companies. The use of proptech gives a competitive advantage to adopters due to its ability to add innovation to every stage of the business process and by rethinking existing systems. Proptech is often designed to streamline and connect processes for participants in all stages of a real estate transaction, including purchasers, sellers, real estate agents, brokers, investors, lenders and landlords. Examples of some of the most common proptech technologies include: virtual reality software that allows website visitors to virtually walk through properties; software for reporting repairs or for splitting rent payments; and platforms for crowdfunding new real estate projects.
The arrival of proptech will shape tomorrow's real estate industry. Below are some of the innovations that proptech brings to the real estate market:
Artificial intelligence - the use of AI allows, for example, language processing and image recognition for the purposes of scanning purchase and sale documents and importing data into a customer relationship management (CRM) system. It can also help to automate communication between an agent and...