Maduka Nweke, [email protected]
Technology is taking a critical dimensions in the way a lot of things are being done including real estate. Artificial intelligence (A I) is taking over the traditional ways of doing things in the world and that is also changing consumer taste. Activities in real estate are changing, and consumer habits are changing what the future of real estate will look like as a result. The traditional real estate market is controlled by agents but going by what artificial intelligence which is now enabled by technology, it is helping in reducing personnel in terms of who does what and how it should be done. Whether it is commercial, residential or retail space, understanding and measuring how space gets used is critical for optimising tenant experience.
According to Mr. Roland Igbinoba, who used artificial intelligence to develop index being used in real estate today, house price index is a measure of the proportion or percentage changes in a set of house prices over time. Hence, it serves as a tool that measures changes in single-family home prices across a designated market. However, as house prices do not all change at the same rate, house price index can only reflect their average price movement.
He said that house price indices serve quite a number of purposes. It provides necessary information to make decision of when to purchase a house, where and even what type of house to buy. It can be used to measure differences in price levels between different cities, regions or countries at the same point in time. Economists and financial analysts also use house price Indices to monitor long-term trends in house prices. The Roland Igbinoba House Price Index (RI) is a statistic designed to capture changes in the movement of the price of residential property in major cities in Nigeria, for starters, the index covers metropolitan areas in Lagos and Abuja.
The report would be extended to major towns in Port Harcourt in forthcoming editions. The Roland Igbinoba House Price (RI) Index is a variant of the Simple Mean/Median method. The Simple Mean/median methodology of constructing house price indices derives a single (representative) house price from the distribution of house prices sold within a particular period using either the mean or the median. This RI Indices adopts the median price rather than the mean price. This is because due to the extreme heterogeneity of house, the prices of the same type of house in the same location vary considerably. The mean is easily influenced by outlier values; hence it does not always give a true reflection of the average price. Outliers, however, do not affect the median as much as the mean. The median therefore proves a better average than the mean under this condition.
However, experts have posited that artificial intelligence is the next generation tool that will take care of ongoing prospecting, lead generating and old fashion customer service. This is why Igboba’s index is pointing the way forward. AI is so sophisticated that clients can get information instantly and agents can have a personal assistant working 24/7 at the weekly price of daily Starbucks latte.
Also, Evan Gentry of Money360 noted that technology enables transparency in whatever one does including real estate. Borrowers and brokers alike benefit from more information throughout the transaction process, and fintech-driven lenders are building better businesses for all parties around technology that offers greater information as well as speed and efficiency.
Marketing has changed a lot over the past few years and this is also noticed in real estate. Also, social media platforms use personal information to pointedly deliver advertisements to an audience who will likely actually appreciate them. In this regards, local advertising options mean that you can deliver ads directly to people in your target market.
The For instance, with movements in the US legislature aiming to relax privacy laws coupled with rapidly paced advancements in tech, it won’t be long before in-person advertisements like those found on benches, buses, and billboards become more personalized as well. Look for targeted ads to literally appear before your eyes in the real world within the next decade.
Advancing imaging has remained a remarkable innovation in real estate and it has provided buyers a lot of verifiable options. Photographs have been an incredibly important part of the real estate industry, particularly since listings became readily available online. Great photography is one of the cornerstones of a successful listing, and it helps buyers to make the right decision, too. From remarkably high resolutions on digital cameras to drone technology, the constant advancement in imaging capabilities that has occurred over the past couple of decades is bound to continue.
Some imaging advancements that are likely to become the norm in the real estate market include virtual reality (VR) experiences that allow buyers to experience a listing from afar and cameras that require users to have little to no experience to take extraordinary listing photos. One company, Floored, brings innovative 3D software that incorporates VR for commercial office space rentals. The real estate brokerage community will be less important, fun and accessible to their consumer base if they don’t adopt this type of tool.
People have mobilized technology and for obvious reasons it is helping the real estate development. The revolution of cellular technology, with Wi-Fi being available almost everywhere, means that people are no longer tied to the office. People can send or receive listings while sitting at their children’s Little League game or camping at the lake. Advancements like this may eventually spell the end of the real-life, in person office for at least part of the real estate industry.
A lot of tools that are invented recently creates impactful innovations that have helped real estate. The way business in general happens is rapidly evolving based on the new technology being invented and refined. There are several types of tools that may have an impact on the future of real estate. The fact that people now can implode their pictorial designs online has given majority of buyers opportunity to make choices out of varieties.
Rating sites like have gained popularity over the past decade, and having the opinions of others at our fingertips seems to have started a cultural trend. People now frequently make decisions based solely on the opinions of their peers, and the internet means that everyone everywhere is a peer. While great customer service and providing a smooth experience has always been important, it’s likely to become even more so in the years to come when other agents and real estate experiences are more easily accessible.