What Is Prop Tech & How Is It Influencing the Future of Real Estate?

1. Technology and Innovation

These are the buzzwords that have transformed the Indian economy over the past few years. So much so that India has become the center of innovative developments on a global scale. The one sector of the economy that has been late to catch up on the evolution of technology is real estate. With the arrival of prop-tech, however, the sector is all set to soar and achieve new levels of development and success. But what is prop-tech, and how is it influencing the sector? Let’s take a look.

Prop-Tech is the term used to refer to the tech tools, deployment of innovative solutions, and analytics to ease the life cycle of property development in the real estate industry. This means that technology like software, AI, Big Data, ML, etc., are employed at every stage of the real estate food chain to cut costs, optimize offerings, and meet the end consumer's needs.

2. CRM & Development Stage

Some of the top real estate developers in Mumbai and other parts of India have started to leverage the benefits of CRM as part of their business models. CRM-powered property development is a game changer. It uses software and digital tools to plan and monitor every stage of the construction lifecycle, including planning and design, vendor management and procurement, wage management and cost optimisation and budgeting. CRM helps in high-level planning, monitoring, and even marketing. The introduction of CRM has provided end-to-end management and reduced the cost and time required to develop projects. Both developers and buyers benefit from the implementation of these tech tools.

3. Smart Home Technology

By 2027, it is expected that about 66.1 million Indians will be living in smart homes or looking to buy homes powered by smart technology. Research suggests that the home automation market in the country is set to grow to USD 13.5 billion by the year 2026 and clock a CAGR of about 30%. This phenomenal growth in prop-tech and smart home technology is a game-changer in the real estate market. As more home appliances and HVAC systems are connected to the IoT and controlled through smart devices, there will be a perceptible change in the technology employed by real estate developers. 

4. Analytics For Homebuyers

Further down the food chain, consumer-centric real estate platforms like Blox are all set to leverage the power of Machine Learning, Artificial Intelligence, and data analytics to bring prospective homeowners closer to their dream homes. Finding your dream apartment in the locality close to your workplace, with just the amenities and facilities you need, will be as easy as clicking a few buttons on your smartphone or computer. Customizing the home hunting experience to meet the unique requirements of the prospective buyer will certainly give platforms like Blox the edge over other listing sites.

5. Technology For The Win

Technology can do much more than merely manage the construction process or zero in on the perfect project for the home buyer. It is a whole range of value additions that will change the way the real estate sector functions. 3D recreations of under-construction projects, use of virtual reality in marketing and sales. Drone-based home visits, online verification of documents, and completely online homebuying experience – the scope for application of digital technology in the sector are unlimited.

Prop-tech has indeed arrived and is here to stay. It is all set to revolutionize the real estate industry and bring a host of exciting features and benefits to both builders and home buyers. The times ahead certainly look bright for real estate.