98% of potential clients turn to the internet when they’re considering buying or renting a property. This staggering figure indicates that PropTech is the future of the property market, and that it must be doing something right.
Here are five of the biggest issues that PropTech has solved so far: watch this space for more as the technology explodes in the coming years.
- Limited advertising
Gone are the days when an advertisement in the shop window and a picture in the newspaper represented the pinnacle of advertising for estate agents. Increasingly competent algorithms and the many-pronged approach to social media advertising means that marketing efforts can be targeted with laser-sharp focus on the specific portion of the market that are most likely to engage with your offerings.
PropTech is also beginning to reinvent the process for the application and management of mortgages. New services are able to take the process from a tedious three months down to several weeks or less, significantly reducing the time it takes to secure a buyer for a property.
- Information overload
Blockchain, a system for holding, tracking, transferring and verifying information online, could be the solution for managing information in the months and years to come. Providing total transparency with all information available to both buyer and seller; removing the risk of fraud with transaction tracking; and a massive increase in the efficiency of the letting or sales process with reliable ‘smart contracts’ and a value-for-value system that takes all of the financial complexities out of the equation.
- Tenancy management
More than just an agent for reaching new clientele, PropTech is developing into an increasingly efficient way to manage customers once they become tenants in managed properties. Most lettings agents will agree that the minutiae of dealing with tenants can be frustrating, frittering away valuable time and money that take away from more productive efforts to move the business forward. PropTech is starting to change all this, with the advent of tenancy management software that allows instant communication between tenant and agent.
Take, for example, a repair that needs to be made: the tenant can report the issue online, filling in all the required information and using a time-management tool to state their availability for the work to be carried out. You can have contractors on database that are alerted of the issue and given the information and the time, removing the agent from the process, creating cost-saving automation that’s just the beginning for PropTech’s huge potential.
- Conveyancing delays
One in three property purchases fall through, according to a survey by Which? last year. Emerging software that monitors the properties going through conveyancing and flags any issues removes the need for agents to chase all the parties involved, but it also gives them a bird’s-eye view of the chain at any time.