TGFLIP Marketing
Feb 3, 20224 min
Updated: Mar 2, 2023
TGFLIP MARKETING AGENCY
February 03, 2022
Content:
Introduction to real estate digitalization
Buying property virtually
Selling property virtually
Setting up contracts virtually
Managing property virtually
Conclusion
1. Introduction to real estate digitalization
Since last year, the real estate market's digitization has been projected to increase, as Covid-19 pushes a digital transformation on any business, including the more conservative sectors that have so far resisted it. Real estate has been a late adopter of digitization in comparison to other industries such as finance, retail, and healthcare. However, there are a few cases when digital technology improves the home-buying process while also increasing real estate agents' operational efficiency.
“99% of millennials and 90% of baby boomers begin their searches for a new home online.”
[Source]
The way real estate is acquired, sold, leased, and maintained is evolving thanks to digital solutions such as automatic apartment matching, virtual house tours, renter portals, site management, and contactless solutions spanning home loans, payments, and insurance services.
Similar trends are growing in commercial real estate, where property owners can take control of their assets with centralized dashboards that provide insights into electricity, gas, and water consumption, as well as track, needed maintenance, and more.
2. Buying property virtually
There is an ever-increasing number of digital solutions available to consumers looking for a new home that substantially ease the process of finding houses that meet their wants and desires. These apps frequently provide a two-sided marketplace where sellers can simply list their property for sale and buyers may quickly browse properties depending on their criteria.
Real estate investors might also acquire houses from afar. Most real estate investors adhere to the 1% rule, which dictates that a property's monthly rent should surpass its monthly mortgage payment, allowing the investor to break even on the property.
“Customers aged 18 to 34 are 130% more likely to book a place if there is a virtual tour.”
[Source]
Mortgage calculators, which frequently include the option to contact mortgage providers, are another significant piece of technology for home purchasers. In the real estate market, these all-in-one applications are becoming increasingly popular, making the process of searching for and purchasing a home a piece of cake.
3. Selling property virtually
Selling a home may be a time-consuming process; consider the time and effort required to create a pleasing portfolio of photos that not only display but also sell the property. The house imagery is one of the most important parts of advertising property for rent or sale. For a small firm, manually going through images and picking the finest ones for a property portfolio could work.
When a corporation has hundreds of properties to sell, however, the manual procedure becomes too time-consuming and error-prone. Companies can identify and categorize photographs in seconds using machine learning and neural networks, resulting in a digital image library. Agencies may quickly categorize images by room type, feature, exterior style, or any other category they desire using these tags.
Aside from APIs that quickly select the correct photos for your portfolio, extended reality technologies are increasingly being employed in the real estate market. The usage of virtual reality house tours is a relatively new use of these technologies. This allows buyers to get a complete house tour without having to physically visit the property. This proved to be a handy option for both property sellers and purchasers, especially during the global COVID-19 pandemic.
“Websites with virtual tours receive 5 to 10 times longer views than those without, virtual tour statistics reveal.”
[Source]
4. Setting up contracts virtually
Aside from digital solutions for property search, smart contracts are increasingly being used to execute a lease and buy transactions. Smart contracts, which operate on blockchain technology, are used to store contract terms and digitally sign contracts without the need for a mediator. In the real estate market, smart contracts reduce the need for bank verifications and other intermediaries.
Smart Contracts:
For contracts and dealings, blockchain eliminates the need for a third party. These contracts operate as a means of communication between the parties. The finest aspect is that they are safe and unchangeable. Because of their ease, blockchain smart contracts are already in use in the real estate industry. These contracts are recorded on a ledger that is open to the public, eliminating the possibility of disruption.
Transactions that happen right now:
Smart contracts are beneficial in the real estate industry because it includes a high number of major transactions. They may speed up transactions, defend against fraud, and reduce total costs.
Websites like DocuSign allow you to assign instant contracts just in a couple of steps. Here is a link to a step-by-step guide to DocuSign.
5. Managing property virtually
There is a surge in solutions that simplify the management of your home for those who already own a home. You may get insights into your property statistics, such as gas, water, heating, and energy consumption, using centralized data dashboards. These centralized databases are frequently intended to operate with smart devices.
Setting up a virtual property management system, on the other hand, isn't as simple as snapping your fingers. Working with a property management virtual assistant is one of the finest methods to ensure that you're capable of achieving all of the above. That's a virtual assistant with experience with property management systems, data input, and the peculiarities of rental properties in your sector.
6. Conclusion
The rules of numerous sectors are altering as a result of digitalization. The recent COVID-19 outbreak appears to have sparked this shift. The real estate business is also seeing significant changes as the use of technology in the industry continues to rise to new heights. The innovative notion of virtual real estate dealing is sweeping the industry. The simplicity of this approach allows both buyers and sellers to seal a purchase from the comfort of their own homes.
TGFLIP Marketing Agency is a firm believer in this concept and can help you with virtual real estate deals. We've put up a comprehensive system to assist you in finding, purchasing, selling, and managing real estate. Please feel free to contact us for additional information!
Disclaimer:
The information provided is not intended to be a source of advice or credit analysis with respect to the material presented, and the information and/or documents contained in this website do not constitute investment advice. The ROI varies from case to case, and TGFLIP Marketing Agency would not be responsible for any loss carried out regarding this information.