How Emerging Technology is Changing Real Estate

Estimated reading time: 3 minutes

In today’s evolving digital age, emerging technology has begun to transform industries across the board. Real estate and homebuying are no exceptions. These innovative advancements are streamlining processes, automating routine tasks, and enhancing customer experiences. Let’s look at how real estate technology is creating a more efficient, transparent, and accessible experience for professionals and consumers.

What is Real Estate Technology?

Real estate technology isn’t a new fad. In general, the term refers to the use of digital innovations, technology software, and website tools used to enhance and streamline processes. Property listing websites like Zillow or Realtor.com that include filters for consumers to search based on the number of bedrooms they need, square footage, or price ranges are examples of real estate technology. Based on the 2024 Home Buyers and Sellers Generational Trends report released by the National Association of Realtors, 52% of all buyers found the home they purchased by using online listings.

AI Algorithms in the Home Search

Artificial intelligence (AI) has been assisting some real estate agents and consumers with customized property suggestions and curated information. Algorithms can sift through data with regards to customer tastes, property features, and desired locations with ease. Agents and buyers can save time and focus on viewings and creating winning offers when using AI.

Virtual and Augmented Reality in Property Viewings

Virtual reality (VR) uses computer technology to create simulated environments, placing users inside an immersed three-dimensional space. Augmented reality (AR) combines the real world and the virtual, like apps that allow you to preview makeup shades or glasses based on a photo of yourself.

In real estate, VR and AR are being leveraged to provide potential buyers a realistic view of a property without having to physically step inside. VR headsets and AR apps allow users to virtually explore, inspect, and visualize the possibilities of structures and rooms. By utilizing this technology in addition to traditional property viewings, buyers and sellers can save time.

Generative AI for Visualizations of Future Possibilities

While traditional AI can process and analyze data, generative AI creates new creative content based on user prompts. When buying new construction or seeking renovations, it can be hard to visualize what the result will be. Contractors and agents may use generative AI to create accurate visualizations before a buyer makes a financial commitment.

Several property services use this technology to modify listing photos. For some, it’s hard to know the possibilities of a home when it has other people’s furniture. Generative AI can be used by a real estate agent to create decorated rooms and spaces based on what a customer wants and needs, like replacing carpet with hardwood floors.

Internet of Things and the Rise of Smart Homes

The “internet of things,” or IoT, is used to describe the connection of devices to the internet and web-based storage. Smart phones and applications like Siri or Cortana are all examples of IoT connections. Homeowners can optimize their home’s energy consumption, increase home security, and enjoy comfort and convenience by using smart home technology.

Smart home appliances can be controlled through a phone application, allowing users to set their lighting or air conditioning to a certain setting while they’re away at the office. This type of technology also allows disabled homeowners more autonomy and independence within their spaces.

Improved Customer Experiences

Even McGlone Mortgage utilizes real estate technology to personalize your home financing experience. Our mortgage app simplifies the process by allowing users milestone progression, electronic documents and signing, and direct communication with their Loan Originator and real estate agent with top-notch encryption. Ready to get started on your customized home financing journey? Contact us today!