With the improvement of technology and its adoption in property investment, buyers can benefit in a range of different ways, helping them to become more connected to their property, and thus more confident in their purchase.
‘Proptech’ is becoming more widely adopted by investment companies in the digital sector, but what might this mean for any potential investments? Well, here are a few ways it could help.
What is proptech?
‘Proptech’, much like ‘contech’ (for construction technology) and ‘fintech’ (for financial technology), is a buzzword used to describe the development of the property field through innovation in technology and its prominence in the digital sector. Through advancements in the field, and using tech from other areas in order to maximise efficiency, the results are becoming increasingly apparent.
The current market in the UK is seeing the capital city of London stagnating in terms of house prices, and many young professionals and business startups are looking to move their companies north into cities like Liverpool and Manchester. This is not just for the cheaper living cost, but to follow the buzz of talent and infectious creativity that once was a draw for the south.
To keep up with these growing demands, investment companies such as RW Invest are offering off-plan project opportunities, aided by virtual reality technology:
- Off-Plan property investment is an investment in a project that has not yet reached its completion, and is still in development. By using Virtual Reality, investors can get an immersive, realistic view of what their potential purchase might look in the future. This then allows them early-bird access to an area growing in demand, which can give the potential for house price growth before the property is even ready.
None of these potential benefits would be possible without developing tech, and while VR might typically be something associated with video games, re-working what has already been established and thinking about how it can benefit other sectors is evidently beneficial.
Additionally, the prominence of financial tech and in-depth calculators allows us to get better projections of what the housing market will look like for years to come, again allowing investors to make a well-informed decision when deciding on an area.
Building an ‘online’ or ‘digital portfolio’ of properties is also now a more viable option than ever before. By using interactive elements such as the previously mentioned virtual reality, as well as providing the buyer with as much information as possible through information packs and continual updates, investment companies and alike can give potential buyers/tenants an experience as authentic as the real thing, if not more in-depth.
International investors can also benefit hugely from modern technology. Not only does ease-of-use and the ability for direct communication make any potential language barriers less of an issue, but the usage of computer-generated-imagery and again VR allows investors to make a decision from far away. This a huge positive for the future of the market, harbouring opportunity on all fronts by connecting investors and tenants from all around the globe.
The internet of things
Aside from smoothing the process on an investor level, technology has now permeated the everyday home and can have a positive effect on the average tenant. Devices from smart meters, to home assistants such as Amazon’s Alexa or the Google Assistant, to even colour changing and energy saving LED bulbs, all network throughout the house in the ‘internet of things’, helping to bring a space into the 21st century.
Many of these smart devices also have connectivity that can be monitored and controlled remotely, meaning that landlords and investors have access to the ongoings of their property even from far away. Emerging technology has a plethora of benefits on the consumer level, from ease-of-use and leisure, to enhanced safety. It is also helping to bridge the gap between tenant and landlord, putting them in direct communication for mutual gain.