Technology is transforming every walk of life, and its influence is pervasive across all business sectors. Real estate is no exception. Today, the property market dynamics globally is being shaped by the latest trends in technology including blockchain and Artificial Intelligence.
In a study on the impact of technology on the real estate sector, Deloitte points out that “real estate services of the future must evolve from building and systems management to the integrated management of spaces for users.”
We already witness this happening in the industry: From the concept of real estate as ‘home or office space,’ the sector has evolved considerably. Today, co-working and co-living space are already a reality in the UAE, and more developers are looking at alternative owning and sharing models to create value for investors.
Drawing on data insights and deploying machine learning and other technology that offers predictive insights, the property sector also witnesses the transformation of the real estate space into ‘smart environments.’ In addition to the focus on promoting sustainable living through ‘green buildings,’ we see technology integration at all touchpoints to ensure that residents, especially the tech-savvy youth population, have a sense of community.
Further, the concept of community living has evolved too: Gone are the blocks of apartments around which convenience stores open. Today, developers are focused on building integrated neighborhoods that provide all amenities – from retail to leisure and hospitality – right at the doorstep of the residents, adding to their quality of life.
In fact, one of the most profound impacts of technology innovation in the real estate scene is that homes are now more affordable for a wider population. And I am not talking about value housing; I am talking about the big shift that is happening whereby more developers are building homes that are affordable to a larger population.
There are several factors that have brought this change: One is the shift in lifestyle preferences of the youth, who prefer trendy communities, and co-living spaces that help them to share the burden of homeownership. Two, advanced technologies such as 3D printing are bringing down the cost of construction – from a long-term perspective – and also accelerating the speed of construction.
More developers are willing to offer convenient long-term financing plans as well as easy installment options, enabling more young people to invest in their dream homes. Technology has no doubt transformed the industry – and customers must leverage this evolution and benefit from it.
This information has been provided by Cecilia Reinaldo CEO at Home Owners Direct HOD
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