While technology has had its importance in real estate since its immersion into the business world, the two terms are not often joined to think of their potential. That being said, a report entitled “Emerging Trends in Real Estate: USA and Canada”, released this year by PricewaterhouseCoopers (PwC) and the Urban Land Institute (ULL), shows a lot of tech prevalence in discussions of real estate.
This document has its own technology section, emphasising how under appreciated and under utilised tech is in the face of real estate strategies and traditional approaches. Many surveyed listed cybersecurity, automation and the sharing economy as the most pressing issues affecting real estate this year. One of the main reasons those terms are important is because they expose the benefits tech can and should be delivering.
With regard to automation, it was not the beginning of modern technology, but modern technology has taken us toward cost-effective restructuring in industries through automation.
In real estate the results of automation are found in areas like:
- AI Innovations: insight provided by tools available to agents and investors.
- Protocols: Construction process and governance of production support.
- Machine learning: spotting and reporting things that are wrong with no human intervention.
Cybersecurity plays an important role as a benefactor of real estate, as its practices in software and hardware development can act as responses to the proven and prospective threats posed by malicious actors trying to get ahold of data or controls without permission.
Exponential increases in information-transfer speeds have decreased the communicational distance between different groups and individuals. However, hackers and attackers are always weary of when some may have their guard down, attacking software developers to exploit flaws in the code.
With sharing economy it may be seen as a digital implementation of “loose arrangements”.
“Communities of people have shared the use of assets for thousands of years, but the advent of the Internet—and its use of big data—has made it easier for asset owners and those seeking to use those assets to find each other,” explains Investopedia.