2020 undoubtedly proved to be one of the most incredible years for the rise of Proptech. The excitement up-surged among the real estate agents to further explore some possibilities of real estate mergers with high technology.
Will this growth be sustained in 2021 as well? We are going to talk about some PropTech trends that are all the rage and predict the foreseeable future of PropTech in 2021.
Unseen and inexperienced before, the most current vertical of the tech industry is now helping one of the deep-rooted industries of the world: real estate. Similar to the merger of the financial sectors with technology, you will experience technology taking a bold step by serving the real estate industry.
Many industries have already been marketing IoT tech solutions for many years, those smart devices that have been simplifying your daily life routines. But the future of PropTech says that in no time, you may encounter driverless cars taking you home from work or anywhere you would prefer to travel. But the moment you get in the house, maybe in extremely cold weather situations, your home automatically adjusts the temperature to some degrees to keep your house warmer all night long. And likewise in summers, your house drops the temperature to keep the setting cold all day long. You’re fascinated, right?
What is PropTech?
Imagine yourself as an engineer. Usually, engineers are always occupied, and likewise, you have a lot on your plate to do. You get off from your shift, get into your car, and you’re on the way home. As your car parks, you press a button from an app that is already installed on your phone and well-connected with your smart home system. You unlock the main door, enter into your house, some sensors sense your presence, and turn on the lights for you.
When you’re done with the dinner, you go to your room, give a voice command to a smart speaker that is attached to your home to turn off the lights for you, and now is time for you to go to bed. This is how PropTech works.
The above-derived predictions are somewhat applicable. Whereas some also believe that the concept is somewhat vague, but it is not at all ambiguous. Several real estate investors and entrepreneurs are talking about claiming PropTech trends and some have even intended to explain their vision in plain language. Just as Bill Lee did.
Bill Lee, who is the Senior Director for PropTech Investments & Real Estate Development, Gaw Capital Partners. This is what he said:
“PropTech is not sexy. You have to start with facilities and save energy. And then that same platform should lead to other things that make people more efficient, not just space.”
In essence, the future of PropTech would be the future of the real estate market, smart cities, smart home building, etc.
Investments in The Future of PropTech
PropTech is a sister concept of FinTech (finance+tech) that is becoming voguish and real estate investors are participating heavily to get familiar with the potential that lies in it. A large number of firms are focusing on the chances that the PropTech trends can bring about for them. PropTech is helping them effectively to make better decisions in regards to the real estate sector.
The Global Private Investment report from the year 2014-2019 recorded an expenditure of $2.6 billion on PropTech by the real estate marketers.
Looking forward, more and more companies are projected to take part to enhance the future of PropTech. This can begin by bringing significant chances into current strategies and figuring out the correct roadmap. With time, sharing in PropTech trends will continue to rise as traditional real estate marketers begin to recognize the value associated with this solution.
In a nutshell, PropTech trends are along with other buzz words such as FinTech, EduTech, HRTech, there are focused only on creating solutions for startups and companies to bring some innovation in preparing, handling, and trading real estate.
Nonetheless, FinTech spread was faster as compared to PropTech, but the above-shared stats clearly define that realtors are investing heavily. As the PropTech is booming and the real estate industry is innovating at a rapid pace, why not you take an active part in the PropTech trend and start earning some profit?
As we deal with AI and other smart technologies, we would like to take part in your company’s success and help you become the best real estate investor.