With PropTech continually shaping the real estate sector, this is certainly an exhilarating era to live in. In a nutshell, PropTech (Property Technology) is the digital transformation of the real estate industry. Its purpose is to streamline the way we experience real estate and the value we attain from it. To ensure innovation and profitable growth, the customer’s experience ought to be the primary focus of real estate companies. And PropTech is ushering in a culture shift to pave the way for this change.
1. Finding rentals and flatmates
PropTech is making it easier and more convenient for tenants to find their next rental or flatmate, without having to scour the city on foot. With an app or PropTech real estate platform, renters can connect with the right people at the touch of a button. You can post a listing for a room or get connected with current residents who are looking to rent a room.
2. Cloud-based software and apps streamline tenant management
PropTech real estate apps and platforms provide an excellent way for landlords to find new prospects, and to effectively manage their portfolio of properties and tenants. Property management apps help landlords stay in touch with tenants, real estate agents, and other service providers, minimising any gaps in communication by the use of instant messaging. Property management software is also typically used to onboard new tenants, get real-time updates on properties, handle accounting, documentation and an entire slew of tasks involved in overseeing rentals.
A PropTech real estate platform like Fixflo enables renters to enter the details of their problems into the system and coordinate directly with contractors to schedule repairs at their convenience. This eliminates the need to go through an agent or the landlord, which streamlines the process.
3. Obtaining a mortgage
Ordinarily, mortgage applications can take over a month to get approved, depending on the financial institution, but Proptech real estate apps are now being rolled out to simplify the process. Some lenders may even take as long as 3 months to approve an application. Such tediousness is gradually being done away with, as first-time homeowners are seeking completely online alternatives. A mortgage platform like LendInvest cuts down the waiting period to a couple of days and doesn’t require applicants to make a personal appearance.
Mortgage apps and Proptech real estate platforms allow homeowners to select the most ideal rate online, as such tools place emphasis on real-time market updates and transparency throughout the customer experience.
4. 3D mapping prevents inaccurate floorplans and measurements
Innovations in Proptech and real estate, such as 3D mapping provide fast measurements that are guaranteed to be accurate. No special training is required to use such technology. The landlord, property manager or agent simply makes use of a portable laser scanner that fits in their hand. The device captures high-res panoramic photographs and 43,000 data points per second.
A Dutch real estate company, Zien24, utilises such a Proptech real estate device to measure and survey over a thousand properties a month. This method is much more accurate and less intrusive than traditional surveys, which can sometimes be disruptive. This helps property managers and real estate companies save on costs associated with repeat visits and reputational damage from inaccurate measurements.
5. Managing property records with blockchain technology
A prevalent theme in emerging technologies, such as Proptech in real estate, is enhancing the customer experience through transparency and increased accountability to built trust. Government agencies and tech startups are exploring the utilisation of blockchain to secure digital property records, simplifying the process of transferring ownership, and updating records automatically after completion of the transaction.
Blockchain and other Proptech real estate apps eliminate the need for intermediaries, such as escrow companies and brokers, as property records are stored, verified and updated via blockchain and can readily be viewed by both parties to the transaction. This significantly lowers expenses and speeds up the process. In partnership with local tech firms, the governments of Sweden, the UK and Georgia are running experiments in preparation for potential widespread adoption of the technology.