How the digital world has revolutionized the luxury real estate market
The digital revolution has impacted different sectors of the economy for years – and it is clear that the real estate market would not be left out. The way the negotiation took place had to adapt to new moments and technologies so that buying and selling would be more assertive and globalized. Now, the digital real estate market is a reality!
By making a quick overview of the sector, we noticed a constant change in the way it operates. Before technology took center stage, real estate ads were made in print newspapers and radio briefly. With that, it took a lot of patience to find the dream house. Currently, it is possible to see a complete description and have access to the property as soon as it is made available without the obligation of a mediator and without the need to be at the place where the property was made available. A much more transparent and less bureaucratic process.
Digital real estate market
The digital revolution had already changed the way in which the real estate sector operated, but the social isolation caused by the Covid-19 pandemic made the sector go one step further – mainly the high-end real estate market. With extremely demanding customers, online service has entered a new reality: the need to use data.
As high-end customers are carrying out almost the entire purchasing process over the Internet, it is possible to gather this information to map needs and personalize services. The strategy becomes assertive because it facilitates the client’s decision making. In addition to finding and offering the perfect property, it is possible to mediate a visit also in a digital way – and whoever dominates this point is ahead. As the visit to the property has always been the moment of greatest expectation – and where the decision is usually made – who offers the greatest amount of information in a digital way with photos, videos and high quality tours stands out. Finally, bureaucracy is also much smaller with the possibility of signing contracts also digitally. Of course, for this whole situation to work as well as possible, contact and connection with the customer have become even closer.
Even more digital future
5G technology is already a reality for many countries and, like any technological revolution, it also impacted the luxury real estate market, bringing new possibilities and creating a true digital real estate market.
High connectivity without loss of performance, in the first place, promises to facilitate the communication and internal processes of real estate companies and, consequently, should optimize the customer experience.
Another point of attention is the need to allocate servers that receive 5G technology. Thus, the increase in demand from the real estate sector is already expected. With that, the constructions must also be impacted. As the waves of technology transmission do not easily pass through concrete, steel and reinforced glass, new buildings must be started with the use of new materials, existing ones need to look for ways to adapt and the real estate sector should start to negotiate real estate with this question.
In addition to the constructions that must adapt and affect the real estate market, the Internet of Things also arrives as a necessity in the sector, especially when it comes to the luxury real estate market. Show properties full of objects with Internet connection and synchronized operation is a necessity of the sector – and goes far beyond offering properties that turn on the lights when the resident arrives. The Internet connection makes routines more comfortable, efficient and agile, a modern necessity that must affect social standards and customs.
Finally, the most analogous feature of trading also evolves with 5G: communication and the relationship with the customer. Virtual tours, video calls and augmented reality are some of the possibilities that make the experience more effective. Blockchain technology, which acts as a virtual ledger and voice recognition, should further expand the real estate potential of the luxury segment
The digital revolution shows itself as a necessity of the luxury real estate market, whether to win over the client, speed up the process or effect the negotiation.
