17 Real Estate Technology & Property Trends for 2024
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While real estate technology trends have historically lagged, momentum is now clearly accelerating. This industry, globally valued at over $3.9 trillion, stands at the precipice of a new era. Proptech, infused with AI and big data, promises to reshape the way business is conducted.
With nine years of experience, Softermii has developed innovative solutions such as Rently, Real Estate Association, Proper, and Apartmii. This article will explore key trends in real estate: blockchain, predictive analytics, and automated rental platforms. 3D tours, IoT sensors, and digital twin modeling also enhance efficiency, sustainability, and collaboration.
The real estate industry's technological revolution has firmly arrived. By understanding the proptech landscape, property investors and managers can future-proof their positions.
What Is Proptech: Industry Overview
Proptech is a rather amorphous term that is formed from the words property and technology. It encompasses the various solutions involved in the growth of commercial real estate software. In 2023, it was valued at almost $35 billion, and by 2032, it may reach over $133 billion.
Proptech is also known as CREtech for commercial real estate technology or REtech for real estate technology. It usually refers to the software employed in real estate tools and applications.
The industry shows no signs of slowing down. New generations of consumers and realtors opt for smart solutions that facilitate faster rentals and convenient living arrangements.
Real Estate Technology Trends in 2024 That Disrupt the Industry
The successful adoption of a specific technology in the real estate industry will be determined by its ability to provide user value.
According to the 2023 NAR Home Buyer and Seller Generational Trends report, certain features are important to users. Photos, detailed information, floor plans, real estate agent contacts, and virtual tours are among them.
Technologies help cover the users' needs and bring them valuable information for decision-making.
Automated Rental and Purchasing Property Platforms
The 2023 NAR Home Buyer and Seller Generational Trends report states that 47% of all buyers look online for properties for sale.
The benefits of using automated property technologies are overwhelming. Consumers and real estate professionals will be disadvantaged if they choose not to use these valuable tools to find or sell a home.
3D Virtual House and Apartment Tours
Closely associated with search applications are solutions that enable prospective buyers to take a virtual tour of properties while selecting. It is among the main tech trends in real estate for 2024 as it eliminates the time and expense of visiting multiple properties, many of which can be removed from the buyer's list of potential purchases through virtual viewing.
Of course, most buyers will want to tour the property before making a final decision physically. Still, the time and money savings for the customer and real estate agent in determining the best fit can quickly add up. Today, VR technologies allow having almost realistic virtual tours of houses where you can easily examine the property state, interior details, and furniture.
Conversational AI
Real estate software customers expect the best service and experience from using the technologies. Contact channels must be available 24/7, the response time must be as fast as possible, and the error rate should be close to zero.
An automated service desk with the conversation AI can easily fulfill the requirements. This technological approach goes beyond common chatbots, making it one of the main real estate innovations in 2024.
Big data
Databases and data warehouses are used to store the immense quantities of information that is gathered concerning consumer preferences.
According to McKinsey's research, real estate applications based on machine-learning models can predict changes in rent rates with 90% accuracy. That can help clients understand what property is a better choice for their investment, as in the case of commercial and non-commercial properties.
Blockchain
You may not immediately make the connection between blockchain technology and real estate. While many individuals are familiar with blockchain usage in cryptocurrency, it has wide applications in other areas of commerce, including the real estate industry.
Blockchain technology can be used to verify encrypted transactions and ensure that no tampering impacts financial records. It will prove useful in fractional property investment and allow landlords to sell portions of their stake in a holding.
The technology will also enable important documents, such as property titles, to be stored securely. As with other market sectors, the surface has only been scratched as far as the potential to employ the blockchain for other cases in the real estate industry, makes it one of the top real estate tech trends in 2024.
Fractional Property Investment
Fractional ownership refers to percentage ownership in an asset. It is a common investment strategy when purchasing expensive aircraft or vacation homes. With the blockchain mentioned above technology, fractional property investment is flourishing for various reasons.
The high price of homes put them out of reach to many would-be buyers. Fractional property investment allows these individuals or groups to build a deposit on a future full purchase.
Communal investors can all share rental income from a shared property, opening up an additional income stream. A fractional ownership approach will enable more diversified investment and allow people to unlock the value of their homes.
Mobile Apps
One of the most efficient technologies used in the industry is mobile, e.g., developing different real estate apps. The most popular ones are rental and purchasing mobile platforms.
These apps offer several advantages to potential renters over the traditional means of locating an apartment or house. Databases are frequently updated, providing more timely information on new properties put on the market and those that are no longer available.
Consumers interested in purchasing, selling, or renting a property can also use apps tailored to their needs. They can help you locate the desired house and put you in touch with a real estate agent to help facilitate the deal.
Internet of Things (IoT)
Smart homes, apartments, and devices are changing our lives in many ways. The Internet of Things powers all of them and is becoming one of the technology trends in real estate.
The IoT is the practice of embedding sensors and computing technology into various items we interact with daily. Its ultimate goal is to provide individuals with a more convenient and pleasurable life.
Let's investigate in what way IoT technologies are changing our homes and transforming them into smart homes. There are three main characteristics of a smart apartment:
- Smart amenities include devices such as smart lights and locks and integrated services like home cleaning and package delivery.
- Connectivity is designed into a smart apartment when it is built to enable devices, building systems, residents, and management to communicate. Items such as WiFi, smart sensors, and intelligent access controls are benefits afforded by enhanced connectivity.
- Community management by providing services that save residents time, money, and minor difficulties is the final component of a smart apartment. Built-in event calendars, resident assistance, and on-demand services are some of the features that help property managers and renters build a more vibrant community.
While new construction is prime territory for implementing smart apartments, older structures can be retrofitted to provide the same level of connectivity.
Analytics and data management
Data will influence decisions, and since there is still no centralized national system for agents, new startups will have unlimited opportunities to develop and change the existing process. Accordingly, now is the perfect time to create an innovative solution in this industry. You can build an application that will analyze a huge amount of data to provide valuable information necessary for decision-making by real estate market participants. For example, your solution might show a developer's reliability level and their buildings.
Digital twins
As more information is made available online, prospective buyers will have more opportunities to study and explore properties. Imagine seeing a 3D digital model of each building when looking for housing. Such applications will make predictions of the critical parameters of environmental conditions that a particular house can withstand (earthquakes, tornadoes, landslides, etc.). Maintain companies will know the current conditions of buildings (existing and potential damage, date, and place of repair) and fire escape plan.
Moreover, digital twins can be useful during constructing houses, which helps the developer understand how safe their project will be. Such applications can prevent the collapse of buildings and use developers' resources rationally.
Direct digital engagement
More touchless services are offered to end-users, resulting in a safer and healthier process. Traditional procedures, such as in-person home tours, would be automated due to direct digital interaction and disruptive technology in real estate. Buyers and real estate agents will no longer need to travel to every apartment or house to decide. Therefore, photos and virtual tours should be of high quality. Thus, people can see each element in detail.
But it's much more important when, in applications, buyers can look at houses that are still under construction. At the same time, the developer posts photos every month about the state of the future building, increasing its reliability in the buyers' eyes, thus making direct engagement one of the most popular digital trends in real estate.
Digital Transaction Management
That's one of the most important property market trends, and we recommend paying attention to it. Everyone values their time. You can create a solution to remove paperwork and sign documents electronically. Both parties can be in different parts of the world and access the contracts from any device.
Hyper-personalized messages
Predictive analytics and datasets allow agents to understand their customers better, grouping them with those who share similar lifestyles. As a result, agents can build custom messages and content targeting particular audiences. They can send emails to describe the housing, its benefits, and the documents needed to conclude a deal. Moreover, agents use Facebook and Instagram to conduct tours of apartments or houses. They can also create their own YouTube channel, where they talk about the latest news on the real estate market, share life hacks in this industry, and much more.
Lead generation and engagement automation
Conversation chatbots powered by artificial intelligence will initiate conversations and respond instantly to inquiries. It will assist agents in capturing, engaging, and qualifying online leads. These bots will also manage the initial stages of working with a potential customer using natural language processing. This technology helps agents be with their customers 24/7 and get new leads they connect with during business hours.
Essential Technology for Real Estate Agents
Every innovation in real estate is equally important to consumers and real estate professionals. Today, use specific technology for realtors to provide services to their clients. Here are some popular tools that are in use today:
- Multiple Listing Services (MLS)
- Social media
- In-app communication
Advertising automation
Ad campaigns for new listings can be generated by software systems. They can also display ads to the appropriate audiences and include real-time statistics such as views, clicks, and demographics. Real estate agents can understand which housing is best for sale or rent. And accordingly, they concentrate on the objects that bring them the most profit.
Robotic process automation
Real estate transactions can be challenging to handle, especially regarding communication. New technologies are being implemented to fix these issues, allowing two users to communicate online. Real-time chat, file sharing, and transaction tracking will also be possible. You can also develop an application where potential buyers can solve some of their small questions using a chatbot, significantly saving real estate agent's time.
Or, you can create an AI assistant solution where a customer interacts with a robot that speaks like a human. This assistant can connect potential clients already with a real agent for deeper discussions of real estate issues. Sensely has done something similar in the healthcare industry (a virtual nurse app).
High-Tech Devices in the Real Estate Industry
The innovative use of technology in real estate has been incorporating drones into showcasing and selling homes. Here are some of the advantages that drones offer real estate agents and those buying and selling homes:
- Aerial photography
- A better view of large properties
- Additional interest in listings
Why Following The Latest Technology Trends is Crucial in the Real Estate Industry?
Proptech is one of the young industries that is expected to grow dramatically in the upcoming years. As the world population is predicted to double by 2050, the latest report by the University of Oxford also suggests that the demand for real estate will similarly double.
As the world's citizens become more comfortable with technology, the possibilities will continue to expand. Since everyone interacts with the real estate industry to some degree, it will impact the lives of countless individuals in the years to come.
Softermii Experience
Real estate businesses need high-performance apps and solutions that help them acquire technologies. Depending on the company's goals, we develop the most appropriate platforms, along with features and services that the business needs.
Apartmii
Apartmii is a mobile engine that implements real estate technologies for buyers, sellers, renters, and landlords. We began to work on the project during the pandemic, and this was our major challenge. The deadlines were tough, as the situation was changing dramatically. People needed a solution to rent an apartment without leaving their houses.
The process
We started with the development of the engine with market research. Step by step, we discovered new aspects and added them to our plan. We developed a user journey flow after a comprehensive analysis of the materials. Ultimately, we created an engine that is helpful and effective for different types of clients.
The solution
We developed a mobile engine that implemented the most demanding technologies, including:
- artificial intelligence
- virtual reality
- augmented reality
- simple UI
- live-video tours
- credit score
The result
We managed to reinvent rental real estate software. We've added an option to skip or accelerate some steps. Therefore, your tech team can develop the models you need for your business.
Real Estate Association
The French Real Estate Association approached us to develop a mobile app used by realtors that can provide real-time information about the properties available for purchase or rental.
The process
We started with market research and business analysis to define the key features and tools that a platform should comprise. Later, we moved to UI/UX design and coding. After the product's successful launch, we kept providing maintenance services for the company.
The solution
For the French Real Estate Association, we developed a mobile iOS application that allows interaction between agents and clients. It helps to improve customer satisfaction and increase the number of successful transactions.
We introduced the following features to the product:
- real-time visibility of the market section with the option to geolocate and filter searches to identify properties that meet customer requirements
- detailed descriptions of property added to the platform
- real-time comparison tool
- collaborations between agents and agencies
- custom zones option
- notifications
The results
Currently, over 3,900 agencies are using the software. Also, the solution achieved the MobileWebAwards Best Real Estate Mobile Application for the 2020 award.
Proper
Proper is a communication app for tenants and landlords. The main challenge of the project was to unite three parties in the rental process. Therefore, we needed to set them unique roles and functions to fulfill their specific goals.
The process
To develop a Proper app, we started with the market analysis: it was important for us to understand exactly how the communication between the parties happens. This research helped us determine the plan for app development, as well as create mockups for design. After the UI/UX stage, coding, testing, and launching processes took place.
The solution
We've created three user roles: tenant, landlord, and contractor. Each has a set of functions that allow them to communicate better.
The result
Currently, the application is widely used by tenants and landlords. The app is available for Android and iOS.
Rently
Rently is a digital platform that brings IoT into Real Estate and makes it integral to the property demonstration process. Rently reached us with the request to resign the product.
The process
Analyzing the app, we've determined some of the biggest pains to fix. Complicated registration forms and poor UX maps were among them. Our team worked on the major issues, including the best practices, market research, and our own experience in real estate app development.
The solution
To redesign Rently, we came up with the following solutions:
- building the initial wireframes
- creating new user flows
- redesigning the visual layout
The result
Currently, Rently is widely adopted by the real estate industry. It covers all major US cities and continues to grow in demographic scope.
Let's create a real estate platform for your needs!
The real estate landscape is rapidly evolving thanks to innovative new proptech. As we look ahead to 2024 and beyond, numerous technologies will transform how properties are bought, sold, and managed. Businesses that fail to embrace these tech shifts risk falling behind the competition.
Partnering with experienced proptech developers, brokers, and agents can thrive in the digital era while delivering personalized experiences that home buyers and sellers demand. Whether you need interactive 3D property tours, automated workflows, or fully integrated management platforms, our team at Softermii can build the custom tools to grow your business. We stay on top of the latest innovations to translate them into practical advantages that boost your bottom line.
The modern real estate landscape calls for modern real estate tech. Contact us today to discuss your needs. The future of proptech is here – let's seize it.
Frequently Asked Questions
What Proptech trends will be booming this year?
New trends in real estate technology appear all the time. A couple of years ago, it was impossible to imagine visiting an apartment you wanted to rent without leaving your flat.
Mobile applications that automate all processes are also popular among agencies and agents. Their popularity will also grow. 3D virtual house and apartment tours, analytics, and data management are among the latest real estate industry trends.
How is technology changing the real estate industry?
With the introduction of emerging technologies in real estate, the overall industry has changed. The requests are processed more quickly. It takes less time and effort to communicate with tenants and landlords.
The features that apps and platforms provide are multiple and cover different requests. Certain commercial real estate technology trends also have an impact on the list of options that are available for usage.
How to implement upcoming technology trends in the real estate industry?
You don't have to use every technology to change the market. Sometimes, this change is not necessary. In other cases, you need to conduct a careful market analysis before implementing trends in real estate for your business.
We recommend you be careful with the upcoming technology trends in the real estate industry and involve professionals in platform or app development. In this way, you will save time and money on developing unnecessary features.
Property management technology trends will show the vectors for growth and development, but you must decide which is the most appropriate for your business.
Should you develop a mobile version of the application right away?
Of course, more and more people use smartphones in everyday life and make even important decisions, such as buying or renting a home, on the go. Therefore, you must first create a mobile app to compete in the real estate market, as it's one of the main real estate and technology trends nowadays.
What are the time and costs of developing a video conferencing app?
Each project is unique, so it's impossible to answer this question accurately. But we can provide more precise info after communicating with you and analyzing your idea. Often, the application cost and development time depend on several key factors:
- The team and the project sizes
- The launch day
- The type of software
- The number and quality of specialists in the team
What technology stack is usually used?
We work with the latest technologies to develop real estate apps that meet user expectations, your business needs, and market requirements:
- .NET
- Node.js
- Javascript
- React.js/Native
- Typescript
- AWS
- MediaSoup
- Kotlin
- Swift
- WebRTC
- Kubernetes
- Elasticsearch
- Azure
- Twilio
How to choose a reliable real estate software development company?
Experience, collaboration, and trust lead to reliability. At Softermii, we strive to provide various options to fit every real estate need. Our experienced team of over 100 specialists. Our developers, project managers, and QA specialists work with you in a way that builds trust. Choosing a reliable real estate software development company means choosing a company that collaborates with you and tailors software to your needs.
Softermii works with clients as partners to ensure we deliver the most advanced and secure software that incorporates all your needs, such as IoT, artificial intelligence, conferencing engines, and AR/VR. By partnering with us, we can develop real estate software that fits seamlessly with your business principles and enhances your market reach, empowering you to stay connected in a digital age.
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