Venture investors have put more than $5 billion in real estate technology in 2017, over 15 times the $33 million invested seven years earlier. While it once seemed virtually ignored by the venture industry, real estate tech has risen to the forefront, producing two of the three most valuable startups in the U.S. in recent years, Airbnb and WeWork.
Technology Will Change the Way Buyers Search for That Perfect Home
While the real estate industry is using technology that can help buyers find the home they want, it’s about to go way beyond that thanks to artificial intelligence. Bots working in the background will determine whether someone is looking at selling or buying and then combine that knowledge with their other web browsing habits, directing them toward better property options among the houses in Austin, Texas, or any other city that person may not have thought about searching for the direction.
Bots Will Be Able to Match Buyers to the Best Real Estate Agents and Financing Solutions
Using one’s location, social media information, and other preferences, revealed through online searches, bots will be able to connect prospective home buyers to the best possible agents, in terms of the specific area, whether it’s a neighborhood or town, as well as style and experience. That will make it easier for buyers to find someone they can trust, creating a shortlist of the agents who are the best match, and then the individuals can delve deeper into the agents’ credentials online.
Lenders can also use online data to help a home buyer get the best deal on a mortgage loan by being able to view key data points that the buyer has already approved, like employment status.
Sellers May Be Able to Get Potential Issues Corrected Quicker to Sell Their Homes Faster
When a real estate agent meets with the seller for the first time, that agent creates a list of issues with the property that are likely to negatively affect the home’s sales price. The future of real estate tech will soon bring the option to transform the list into an official document so that the agent can manage the process of obtaining bids from various contractors who will complete the necessary work before the house goes on the market.
If the seller’s budget doesn’t allow for certain repairs, that information can be made available to potential buyers so that they’ll know exactly what will be needed to correct any of the property’s perceived faults. That also tells buyers that the seller is transparent, which can make the property more desirable.
A Safe and Secure Online Settlement Room
Once the home has been sold to the highest, more most desirable bidder, the agent will be able to invite the seller, buyer, and lawyers for both parties as well as the lender into a safe and secure online settlement room. This is where contracts can be shared and allow deposits, settlements, and digital signatures to be collected. All parties will receive alerts as the transaction moves through each stage as well as clearly outlining all the responsibilities of each person.