In today’s digital age, the majority of industries embrace the power of technology to reach a broader audience and expand their horizons to new opportunities. One of the ever-evolving sectors is real estate, which brings a strong desire for innovation for investors and agents so that they can leverage their activity with new tech advancements that could significantly reshape the future of this industry. From virtual tours of properties to the tokenization of real-world buildings and lands with the power of blockchain technology, the real estate world is continuously evolving towards a better ecosystem, embracing a future-oriented mindset. In this article, we are going to dig deeply into the innovative fusion of the real-world properties and technology:
The role of the digital market in real estate
Just 20 years ago, people relied on paper ads and looked around the neighborhood to see rent signs, but nowadays, with the tech advancements, real estate has a completely new way of action. The Internet plays a substantial role in real estate, as it brings multiple opportunities to this wide field, and it attracts a wider audience. The digital market is broad, and hence, the competition might be tough, but with proper strategies and clear goals in mind, properties can be sold and bought in high demand. Nowadays, neither geographical barrier represents an issue because with the implementation of tech advancements, it’s possible to take a virtual tour of properties from all over the world, and, with the help of blockchain technology, cross-border payments are fast and secure. Furthermore, the power of the Internet can facilitate the interaction between the parties involved and promote brand awareness more easily than ever, thanks to the multiple platforms available that drive social interaction. Having a website showcasing a few properties is not enough to reach success, so real estate goes hand in hand with the highest potential of technology.
Virtual reality tours
Compelling content could create a well-put-together website, but a VR immersive experience to showcase available properties is what can actually engage investors. Many real estate listings enable customers to take virtual tours of the buildings to have a close look at the property before making a decision. 3D tours provide interactive features that can simulate a real experience of walking through the rooms of a house, thanks to a 360-degree camera that scans the building. This practice is already popular, but according to experts, it might increase the global market value up to $2.6 billion by 2025. The main beneficial feature of VR tours is accessibility, as interested investors can visualize their next target property before physically seeing it. Understandably, the interest rate is significantly rising; for instance, the interest for 30-year mortgages increased to 6.1% this year since VR is benefiting both buyers and sellers.
Blockchain technology
The blockchain technology is the latest tech innovation that is continuously evolving, introducing many industries that look for innovation into this web3 market. Real estate is the largest asset class in the world, so it surely couldn’t miss the opportunity to hop on this trend and test the new transformative territory. The real estate industry relies mainly on the programmable Ethereum blockchain, which benefits the sector with the digital securitization of the properties, known as tokenization. This is possible thanks to Non-fungible tokens (NFTs), which enable the digitalization of real-world buildings and lands that can be divided into smaller pieces, which can be purchased for partial ownership by a wider audience, and the piles of papers are replaced by an automated smart contract, which provides a clear regulatory framework. Ethereum is the second most popular blockchain in the world thanks to its continuous evolution and investment opportunity, and as the Ethereum price prediction suggests, it will constantly increase, attracting even more investors and, hence, offering a broader audience for real estate.
Implementation of AI
Artificial intelligence is slowly becoming part of our daily lives, and it has a significant impact on the real estate industry as well. For example, these are some of the most transformative integrations of AI:
- Property Search: AI can personalize the experience of buyers by analyzing data from various sources so that AI-powered platforms can provide interested people with suggestions that could match their needs and create an appealing property listing that could serve the needs of the potential customers.
- Data analysis: predictive analytics serves as the foundation of property value estimation, and AI can delve into the historical data, market trends, and other analytical factors that could forecast new opportunities for making informed decisions.
- Virtual assistance: AI assistants and chatbots help users engage in conversational searches and receive tailored information. They have the ability to provide in-depth information about the properties and professionally answer every question of potential buyers.
- Property tours: Ai-powered tours play a vital role in real estate, and, as we’ve mentioned before, they are significantly reshaping the sector. The virtual tours focus on creating an interactive, accessible, and realistic landscape that can convince customers about the high potential of the place.
The new face of real estate offers a Hyper-personalized experience
Technology offers a hyper-personalized experience to potential buyers, constantly raising interest rates in the real estate industry. All the tech advancements presented above serve the needs of a broader audience, facilitating the investment and securing the asset like in the case of blockchain-powered real estate, providing a clear overview of a property with VR tours, and even understanding human preferences and needs with AI-driven research.
The bottom line
In the ever-evolving digital world, it seems like technology has the answer to every question. Real estate is the largest sector of all time, and with the implementation of new tech innovations, it’s slowly taking over the world even more, encouraging new niches to dip their toe into the market.
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