Technology in the real estate industry continues to grow and develop, providing agents with valuable data and tools to build their businesses and facilitate successful transactions. However, staying up to date with tech trends for real estate agents can be challenging. To help you stay ahead of the curve and leverage all of the tools available to you, I explore the latest real estate tech concepts, software, and tools below.
1. Big Data
Because of the growth of artificial intelligence (AI) and online data collection, some datasets are extremely large, complex, and constantly growing in volume. Due to the size and nature of these, traditional data management tools can’t store or analyze them effectively. Therefore, “big data” tools are being developed to manage data more effectively.
Here are a few examples of how big data is utilized in real estate:
- Analyzing the real estate market: Big data enables agents to make informed decisions. It analyzes market trends (e.g., property price fluctuations and supply and demand) and creates market forecasts.
- Predictive analytics: Big data uses historical data and statistical models to forecast future market trends and property values. Some predictive analytics can help agents find and market to leads more effectively.
- Property valuation: Big data is key for quickly and efficiently gathering comprehensive data about comparable sales, market conditions, and property characteristics. This allows agents to create and use comparative market analyses (CMAs) to make wise decisions and communicate with homeowners.
Overall, big data plays a crucial role in the growth of the real estate industry by providing actionable insights, enhancing decision-making processes, and driving innovation and efficiency. The most successful real estate agents will learn how to harness the power of big data to understand the real estate market further and communicate with clients.
2. Internet of Things (IoT)
The Internet of Things (IoT) is a term that refers to the network of interconnected devices. For example, a smart thermostat connects to a mobile app to adjust a home’s temperature automatically or based on the resident’s preferences and daily routines. The IoT is particularly relevant in the realm of real estate tech trends because many items within it are stationed within a property. Plus, IoT offers an unrivaled ability to automate processes, enhance efficiency, and improve experiences in marketing or physical spaces.
Examples of how IoT can be used by real estate agents include the following:
- Smart home automation: IoT devices, such as smart thermostats, lighting systems, door locks, security cameras, and appliances, enable homeowners and tenants to automate and control various aspects of their homes remotely.
- Environmental monitoring devices: IoT sensors can monitor environmental conditions within a building, like temperature, humidity, air quality, and occupancy levels. This real-time data can be used to optimize building operations, improve indoor air quality, and enhance comfort and productivity.
- Smart building technologies: IoT building management systems can utilize sensors, actuators, and data analytics to optimize the operation of commercial and industrial properties. These devices monitor and control systems like heating, ventilation, and air conditioning (HVAC), lighting, security, and access control.
- Safety and security solutions: Smart locks, surveillance cameras, and intrusion detection systems can protect properties from threats and even prevent them. Plus, these automated security systems provide peace of mind for homeowners and tenants.
IoT technology for real estate agents can elevate property showings, automate processes, and demonstrate your commitment to innovation. In addition, IoT tech in real estate is a powerful tool for real estate investors, developers, and property managers.
3. Property Aggregation Platforms
Property aggregation platforms may be one of the most well-known real estate technology tools, although many consumers don’t understand how the technology works. These platforms consolidate real estate listings and market data from multiple sources into a single, user-friendly platform, website, or app.
Having information from sources like real estate brokerages, multiple listing services (MLS), and third-party listing websites ultimately simplifies the search process for users. In fact, platforms often provide additional features, like:
- Search and filtering
- Alerts and notifications
- Visualization options like interactive maps and virtual tours
- Integrations with additional tools and resources such as mortgage calculators, school ratings, and neighborhood data
The most well-known and most-used property aggregator is Zillow. It receives over 300 million visits each month and provides a variety of valuable features for homebuyers, sellers, and professionals, including property searches, home value estimates, tax history, and property details. It also allows agents to advertise on Zillow and generate high-quality leads.
4. Real Estate CRMs
Although this has been a trend for a while, one of the best real estate technology tools for agents is a robust customer relationship management (CRM) system. A strong CRM allows agents to manage their contacts more effectively by organizing contact data, tracking all communications, automating marketing campaigns, and customizing campaigns for different types of leads. Many of the top CRMs for real estate include additional features and tools that benefit real estate professionals, like integrations with third-party lead sources and social media communication tracking.
For example, Zoho CRM is a versatile and easy-to-use CRM accessible on a desktop or through its mobile app. It integrates with a variety of real estate technology companies and tools, extending its use for productivity, social media management, and team collaboration.
5. Property Management Software
Property management software is an example of digital transformation in real estate because it provides real estate investors and landlords with an alternative to hiring a property management company. This software offers a centralized platform for marketing rental properties, screening tenants, establishing lease agreements, communicating with tenants, and tracking financial transactions.
Property management software enables investors to maximize profits and take full control of their rental portfolios by streamlining every aspect of the management process at an affordable cost.
One of our top software choices is Avail, a free rental property management tool ideal for independent landlords. It includes tenant screening, syndicated rental listings, a maintenance communication platform, and online rent collection. Learn more about how the platform can help you in our detailed Avail review.
6. Drones
Drones have become an indispensable technology for real estate agents. They allow agents to capture unique and eye-catching aerial footage of their listings to highlight key features, like the property size, location, or surrounding amenities. This photo and video footage is an extremely powerful element of a real estate listing marketing strategy and instantly sets your listings apart from others in a competitive market.
In addition, drones are also invaluable during property inspections. They enable home inspection professionals to access hard-to-reach areas and capture detailed images of roofs, attics, chimneys, and building exteriors more efficiently. Drones show how real estate tech can be useful in every part of a transaction.
7. Virtual Reality & 3D Virtual Tours
Virtual reality (VR) in real estate means creating a digital environment replicating real-life properties. One of the most well-known examples of VR real estate tech is 3D virtual tours. Interactive virtual tours have revolutionized how homebuyers engage with properties, offering the ability to “walk through” homes from their devices.
Many agents view virtual tours as the future of real estate technology, but they have already proven to be powerful marketing tools for homebuyer and seller agents. In fact, 83% of Millennials and 94% of Gen-Zers prefer to work with an agent who offers virtual tours. For more details about the process, learn how to create a virtual tour for real estate in 10 steps.
8. Chatbots & AI Virtual Assistants
Artificial intelligence (AI) chatbots are one of the newest tools and most powerful tech trends for real estate agents. They are typically integrated with real estate websites to interact with visitors through a messaging platform to provide information, answer questions, and assist with various tasks related to buying, selling, or renting properties. These AI assistants are programmed to simulate human conversation, offering personalized assistance to leads and clients without taking any of an agent’s time or energy.
9. Predictive Analytics
Predictive analytics are one facet of big data that are particularly beneficial tech trends for real estate agents. By analyzing historical data and identifying patterns, predictive analytics can provide valuable insights into various aspects of real estate. This enables real estate professionals to make more educated decisions, effectively guide clients, and generate more leads.
A few examples of predictive analytics in real estate are:
- Price forecasting: Using factors like location, economic trends, and historical sales data, some tools can accurately predict future property prices.
- Real estate market trends: By identifying patterns and trends in past and current housing market data, agents can anticipate shifts in supply and demand.
- Lead scoring: With detailed information on leads’ interactions, online behavior, and communication, some real estate CRMs can accurately rate leads based on their likelihood of converting into clients.
- Risk assessment: AI can effectively assess the risk associated with potential real estate investments, like property value depreciation or the likelihood of decreased property values.
- Listing prediction: By gathering data about individual users’ online behavior, search history, and website interactions, AI programs can predict homeowners who are the most likely to sell their homes.
SmartZip is a perfect example of how predictive analytics is an invaluable real estate tech trend. It has been proven to predict 72% of listings accurately, and its targeting features help agents secure new listing clients more efficiently. Learn more about how this lead generation and marketing platform can help you become more successful in our SmartZip review.
Learn about more AI tools designed for real estate agents in our guide to 6 Best Real Estate Predictive Analytics & AI Software.
10. Mobile Apps & Optimization
According to the National Association of Realtors (NAR), 73% of real estate buyers use a mobile device in their home search. Optimizing real estate platforms for mobile usage has become essential with the widespread focus on mobile technology. For real estate agents, you must intentionally optimize your website and online communication strategies for mobile use to ensure a seamless user experience.
Providing an app or mobile-optimized website for leads to search for properties, view listings, and easily connect with you will increase your conversion rates and revenue. Luckily, you don’t need expert developer skills to optimize your platforms for mobile. Various types of real estate software programs include mobile optimization features.
For example, Placester is a lead generation platform that makes it easy to create a mobile-friendly website with IDX integrations and even search engine optimization (SEO) tools. Take a look at what it offers in our Placester review.
11. Productivity Technology
When you consider tech trends for real estate agents, you must take the variety of business management software into account. There is a wide range of software and digital tools that simplify many different elements of being a real estate agent, from client management and transaction coordination to accounting.
For example, here are some of the best real estate software options for agents:
- Lead generation and nurturing tools (e.g., Real Geeks)
- Marketing platforms (e.g., Market Leader)
- Workflow automation and efficiency tools (e.g., monday.com)
- Social media management tools (e.g., Sprout Social)
- Document storage and organization (e.g., DocuSign)
- Design and collaboration tools (e.g., Canva)
By leveraging the right real estate management technology, agents can increase their output, productivity, and effectiveness without working unreasonable hours. Real estate tech is a powerful tool to streamline your operations and ultimately achieve greater success in a competitive market.
Bottom Line
Embracing real estate technology is no longer a choice but a necessity for real estate agents who want to build a thriving business. By leveraging innovative tools and tech trends for real estate agents, like CRMs, drones, and virtual reality, agents can streamline their processes, enhance client experiences, and achieve a higher volume of sales.