Technologies Impact on the Real Estate Sector
No one could argue that technology has a huge role to play, regardless of which business sector you operate in. It has already completely changed the dynamics of how we do business and it will inevitably continue to do so in the future.
You don’t have to look much further than the retail sector to see the impact. Traditional retailers, your typical High Street stores have almost become obsolete, replaced by websites and e-commerce. Nowadays, these stores must have websites and expect to do most of their sales via this medium. The bonus is that this opens up your traditional High Street store to a far greater audience, which in turn, which hopefully leads to an increase in sales.
The real estate sector has also been completely opened up by the internet. Companies that have embraced this are reaping the rewards, whilst those that haven’t, have sadly fallen by the wayside. This is affecting both the residential and commercial sectors and it is doing it in several different ways. We examine some of these below:
- Smart Building Technology
This is something that is becoming more common in the home as well. The sensors can be used for a variety of purposes such as temperature control, light sensors as well as being able to monitor when someone enters the building. Using these sensors, whose data is loaded into a central system, software algorithms are able to manage the property effectively, reducing costs and increasing efficiency. This is particularly popular in the residential sector with Amazon, Google, Samsung and Apple all playing significant roles.
One day it is thought that these developments could lead to a reduction in annual maintenance costs as technology will replace many of the roles currently undertaken by humans.
- Data Aggregation
The concept of “big data” is something that is present in most industries. In reality, it means that buyers and other interested parties can obtain information about a property from various sources and in real time. This means that they are better informed and tend to have extensive knowledge about the “product” before they have even taken a look. In some cases, they feel that they have enough information to remove the need for a viewing.
Data aggregation involves the collating of historical data, building information as well as statistics on other properties in the surrounding area. The means that clients and potential clients can make informed decisions about the properties that they purchase. This particularly useful as some information that is supplied by officials sources is not always 100% transparent, but information that has been collected independently, and is supported by evidence, is definitely sort after.
This type of information is beneficial to buyers, sellers, developers and real estate agents as it gives all parties greater information about the market. If all these parties are trustworthy and reliable, it will help to manage the marketplace.
- Virtual Reality – 360 Listings (VR)
It seems that VR is used in an increasing number of industries and indeed real estate is certainly one of them. It means that potential buyers can browse a property without actually needing to be there and in many cases before it has even been built. Many developers have created floor mapping where clients can view rooms, facilities and views on a floor by floor basis.
This kind of technology increases the likelihood of attracting overseas investors, many of whom would be unwilling to enter into transactions without prior knowledge of what they were purchasing. VR, when used in conjunction with data aggregation, opens up a completely global market – something that may appeal more to investors rather than end users.
- Artificial Intelligence (AI)
AI is something that is becoming increasingly common and although not widely available in Thailand, it is available in the real estate industry. The idea seems to concentrate on using AI together with Smart technology to be able to problem solve and, further down the line, fix any problems. How this will fully develop remains to be seen but it is another example of the impact that technology is having on the real estate sector.
At Love Pattaya Property, we believe in embracing modern technology. This means that we can offer all our clients greater levels of service and provide them with more information than had previously been available. If you would like more information about properties in Pattaya and indeed the rest of Thailand, why not contact us today?