If you’re not yet familiar with property technology-or, rather, “PropTech”-then prepare yourself for an innovative new way of thinking. PropTech is taking the real estate industry by storm, changing the way we are buying, selling, and even renting properties all around the world.
What Is PropTech?
PropTech encompasses more than software. Experts agree that modern “PropTech” trends also showcase a shifting attitude across all sectors relevant to properties. This includes not only the real estate industry, which is generally the first to come to mind, but also the construction industry and even city planning, home design, and consumer products (think: security, utility management, and so on).
All of these things show just how intricately connected today’s emerging technology is, and that’s probably why so many people and companies are trying to claim “ownership” to PropTech’s latest advances and impacts. In reality, though, PropTech is the collective work of countless companies that are offering innovative tech products and business models. And, it’s true that most of this work is targeted at the real estate sector.
Oftentimes, the easiest way to understand concepts like PropTech is by simply reading through some exciting examples that demonstrate how PropTech is changing real estate.
Examples of PropTech That Prove Its Impact
Here are a few examples of PropTech that stand to make a significant impact on the real estate industry:
● It's changing property viewing and walk-throughs.
With the help of Virtual Reality and Augmented Reality, PropTech applications like Insider Navigation are making vivid, 3D tours simple, attainable, and beautiful. Now buyers can take themselves on a house tour, greatly increasing interest in well-staged homes.
● It’s driving the Sharing Economy.
To cut living costs, reduce our carbon footprint, and enjoy a better sense of community, many individuals are opting into the Sharing Economy. This concept centers around "collaborative conception" and the idea that we can thrive best if we share spaces and capital goods. In real estate, companies are applying this concept to residential, office, retail, and hospitality spaces. Take Cozy, for instance, a property management company in London that leases properties and pairs groups of young professionals together, making for a shared, affordable living space.
● It’s altering our standards for housing solutions.
Powered by the Internet of Things (IoT), multiple companies are helping to bring “smart homes” to the market that feature predictive maintenance and increased energy savings. That equates to happier tenants, intrigued buyers, and better living conditions overall. Plus, companies like Better @ Home are using IoT and other PropTech solutions to help promote independence amongst the elderly who would otherwise have to move.
The Future of PropTech
PropTech is no new concept, but with the introduction of powerful new technologies like blockchain, the field of PropTech is quickly evolving. Exciting new opportunities are abound and they are rapidly making the most seasoned real estate professionals re-think how they’re doing business.
Over the next few years, it’s reasonable to anticipate that these quick changes will only continue as technologies grow even more powerful, accessible, and mainstream.