Proptech: Property and Real Estate Technology Trends for 2022
Like most industries, property and real estate have faced huge upheavals due to the COVID-19 pandemic. Supply chain issues affecting construction materials have caused delays on projects, stay-at-home orders have completely transformed how many real estate companies work, and staff shortages continue to create ongoing challenges. Proptech, or property technology, has also faced upheaval but could also provide some solutions for an industry that’s just starting to pick up pace again. Let’s take a look at some of the trends in proptech you can expect to see in 2022 and beyond.
AI and Automation Key Features for Real Estate Apps
Digital platforms for renters, buyers, leasers, and sellers of properties need to go far beyond simple home searches and messaging services. Expect to see innovations like scheduling a run of virtual tours of buildings (see more below on VR and AR), gamified KPIs for teams working towards closures, or even allowing potential tenants to submit the majority of their details online. One example is the Knock CRM, a platform primarily aimed at multifamily operators and owners. The platform leverages artificial intelligence (AI) and machine learning (ML) to automate a wide range of tasks, increasing the productivity of leasing agents and improving the renter experience. The platform works like a traditional customer relationship management (CRM) platform, promoting communication and excellent UX.
Other examples of AI and ML in the real estate space include click.ai, an automated underwriting and task management tool for property investment and asset management. The underpinning technology projects potential risks, cash flow forecasts, and a range of other information linked to commercial property investment. Users can automate calculations and the filing of documents, saving time, money, and frustration. Expect to see more examples of AI making life easier for people all across the property industry in 2022.
Virtual and Augmented Reality to Become a Mainstay
Virtual property tours aren’t new, but they have never quite lived up to the experience of moving around a home or potential business premises with a trained realtor. During the pandemic, virtual tours became an essential tool to keep property sales and rentals moving while people couldn’t meet in person.
However, don’t expect virtual reality to fade into the background of the proptech industry now that the world is opening up again. Many people are still working remotely, and the appeal of virtual tours is still high — plus, virtual reality or augmented reality can help bring properties to life before they even exist, thanks to detailed 3D models based on architects’ plans or designers’ visions. Combining blueprints with publicly available LiDAR and aerial photogrammetry allows community planners to create a virtual tour of an entire neighborhood — before it even exists.
For property developers and investors, the benefits of VR and AR can’t be overstated. There’s the cost reduction on transport and logistics, plus the time saved by not having to repeatedly visit a site to observe the progress of a project. At a consumer level, apps like roOomy allow prospective home buyers or renters to see what their favorite décor pieces will look like in-situ by superimposing them onto the actual room using their cell phone or tablet screen.
Proptech Startups Will Play a Pivotal Role in the Industry
According to Genea’s “State of Proptech 2022 report”, the number of proptech startups has increased 300% in the last decade. Despite vendor fatigue and the difficulties facing users who must sift through numerous offerings to find the ones relevant for them, proptech startups are some of the most highly funded tech ventures: $9.7 billion in the first half of 2021. This could be because the real estate and property industries have been slower to adopt digital transformation and are now playing catch up — quickly embracing emerging technologies to get ahead in a rapidly changing market. At least 53% of real estate companies are now investing in technological solutions to their challenges, so proptech startups have more opportunities than ever to make waves.
Final Word
The real estate market is currently worth over $7 trillion, so there’s a lot of scope for proptech and realtech (real estate technology) startups to make a big impact with the right support and guidance. Our team here at Arch Collective can provide marketing and brand messaging support, getting your app or service in front of the right stakeholders and investors to get that all-important series-B funding. Set up a 15-minute introductory call to find out more about the benefits of hiring a fractional CMO.
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