Digital transformation in real estate has mostly centred around proptech, or property technology, which is an umbrella term covering technologies like AI, machine learning, and data-driven decision making. Within real estate, this means everything from Robotic Process Automation—learning how tasks are carried out in order to automate them—to virtual property viewings.
It’s a potential game changer.
While these are relatively small steps, they herald a massive digital transformation in real estate. As the demand for proptech grows, experts expect to see more IoT technology, 3D architectural renderings, digital twins and other new technologies become common.
The key benefit of proptech is enhanced decision-making for building managers, using machine learning to proactively respond to errors and streamline administrative tasks by teaching it how processes are carried out. It can use this information and analyse real-time data in order to automate and optimise tasks.
AI can also use this real-time data to perform predictive maintenance by identifying potential errors and breakdowns before they occur, potentially saving building owners significant sums in maintenance fees.
DUBAI AT THE FOREFRONT
Dubai’s real estate sector is leading the pack, adopting proptech as part of its growing “smart ecosystem”. The Dubai Land Department, for instance, is now using AI as part of the real estate valuation process, while UAE-based Property Finder has introduced live streaming of property viewings.
Furthermore, SmartCrowd recently became MENA’s first financially regulated real estate investments platform when it acquired a license from the Dubai Financial Services Authority in November 2019.
SmartCrowd allows people to invest in real estate, transferring rental earnings directly to a user’s digital wallet. Its investor base has already grown by 300 per cent, demonstrating the high demand for convenient, easy-to-use smart platforms like this.
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