With the pandemic’s onset, changes have become uninvited guests in every sector, and the real estate industry is no exception.
The physical checks and maintenance are no more part of the to-do list. But the transactions were still on, even when the markets were deadlocked due to the shutdown during the pandemic! All credits to digitization! It has transformed the way real estate activities are carried out. Tedious paper procedures are cut down, and reachability has spread its wings. It has sparked the industry pushing forward some existing investment options like crowdfunding and certain technologies like Blockchain.
Advantages of Digitization
Enhances Transparency and Reduces Transaction Time
The pandemic has confined people to their homes, impeding the physical checks on the property before purchasing. The developers have seen the opportunities amid the challenges. As a result, online platforms have gained traction. Though the vaccine drive is instilling the public’s confidence to get back on track, the emphasis on social distancing and hassle-free procedures is driving the markets towards digitization.
The properties are listed online, and digital platforms offer a virtual tour of the property during purchase or rent. This increases reliability and transparency.
With the rising need to maintain social distancing, there has been a shift to online property management platforms. Online platforms efface the tiresome paperwork like rental agreements and reduce the transaction time.
Remote Property Management
One of the most significant concerns is control over the rental properties from far-flung areas. Rental properties need attention as you need to collect the rent and may have unforeseen repairs to be looked into.
Digital platforms have come to the rescue of property owners. You can control your remote rental properties right from your home. All that you need is a digital platform that bridges you and the tenant. You can collect your rents on time, find an efficient tenant under vacancies by listing your properties online, and schedule your maintenance services if required.
Ensures High-Quality Deals to End-Users
Digital platforms have preset rules and regulations for verifying the properties and identity of the end-users. Only if your property satisfies all of them, it gets listed. You can agree and enter into the process of purchase after your identity is verified.
All the assets are curated and listed on the portals after they undergo thorough due diligence. It ensures the quality of deals for the end-users. Owing to the advantages and the situations, some digital trends have taken over the real estate industry. Let us take a look at some of the digital trends in the real estate sector.
Technology Trends in Real Estate Sector
Virtual Reality Platforms
The digital transition of the industry has brought in innovative platforms that can boost the industry at large. Digital platforms have gained attention due to social distancing norms. You can rent or sell your property or buy a new one altogether.
Virtual Reality platforms gave new impetus to the asset industry. Buyers prefer visiting the property before finalizing the purchase. The pandemic brought such activities to a complete halt, for which virtual reality has taken over the industry.
With the emphasis on social distancing, the markets are believed to take a couple of years to get back to normal even after introducing the vaccine. Also, the investors prefer to have property checks according to their convenience right from their home. On this note, it is an excellent opportunity for buyers to view the property through online platforms.
Virtual reality platforms hence have increased the reliability of the real estate sector with the high interaction levels. Buyers can have a comprehensive inspection from flooring to the ceiling, thereby increasing transparency in the deals. Virtual tours offer a 360° view to enrich the experience of the property view.
Crowdfunding is gaining traction with the digital transformation on its momentum. Today, most crowdfunding campaigns happen through online platforms.
Crowdfunding is a real estate investment strategy where people pool their small sums and invest in a property. It is for you if you are looking for investments with small ticket sizes. You can mitigate the risks as the potential losses are divided among the investors.
Due to the standstill that the pandemic has created, the need for funds for property construction rises. The semi-constructed properties need some capital to go off the ground and get back to the track. This gap can be reduced by crowdfunding. As the pandemic in its aftermath has its effects pronounced on the markets, digital initiatives like crowdfunding have much to offer the end-users with the smaller investments.
Numerous online platforms help you bag the property through crowdfunding. Assetmonk is an innovative online crowdfunding platform that fetches pennyworth properties. Assets at strategic locations from metropolitan cities across India are registered on the website.
Blockchain technology brought a revolution across the globe. No field is not going to see its disruption, sooner or later. Real estate has already started experiencing the impact of blockchain technology.
To define, Blockchain technology stores the information related to a series of transactions in blocks, in all the computers called nodes. The information is shared with everyone on the chain.
Right from property registrations to making agreements, and peer-to-peer transactions, Blockchain technology is setting standards for security like never before. Blockchain information is complicated to hack as the information is shared across the chain. Your information remains safe even under malicious attacks as it would be stored across the chain.
Blockchain technology can be implemented to digitize lands that reduce counterfeiting. Blockchain supports property purchases through smart contracts that let the users make a one-to-one deal. Intelligent identities can also be created, which can be stowed in a universal database that can be accessed to make safer transactions.
The sight of stalling projects has been common in the previous year, raising concerns for the credibility and completion of projects. This has also increased the demand for ready-to-move-in projects. If you are skeptical of the new projects and the builder’s credibility, then blockchain has the solution for you. You can check the track record of the builder before you proceed to purchase. It reduces the risk of defaulting, thereby ascending the authenticity in the real estate sector.
Every industry is transforming into digital where people prefer to get things done at their fingertips, and real estate is no exception. Digitization is transforming the industry to achieve higher scales with technologies like Blockchain.
The pandemic has catalyzed digitization, and the investors’ choice is propelling it further. Digitization lets the buyers make informed decisions as they have ample options to compare and choose from the platforms that would otherwise be not possible by conventional methods. The digital transition of the industry seems to be a feasible alternative to the end-users. You can make safe transactions right from your home and acquire profitable properties.
Assetmonk is an online platform, ever-ready to help you procure the properties, one of their kind. Our managers are here to help you out with the procedures. High yielding assets with an expected IRR of up to 21% and those that undergo due diligence make it to our list. Visit Assetmonk to know more!
Real Estate Technology Trends FAQ's:
Digitization helps in making transactions at your comfort, and you hardly need to move around to invest in real estate. With the pandemic raising concerns about socialization, in-person deals have seen a negative response from the end-users. Digitization answers all of them and is driving the industry forward.
The advantages are increased transparency, reduced socialization, credible deals, hassle-free purchasing procedure, to name a few.
You can list your rental properties online, invest in crowdfunding, and obtain fractional ownership. You may also opt for blockchain technician technology that will soon make a legal entry into the markets.
Blockchain technology is a digital platform that helps you to make transactions with enhanced safety and security. Blockchain technology can be used to digitize lands, create smart identities and smart contracts. It allows you to make transparent deals and improves efficiency.