PropTech: Disrupting the Real Estate sector in Dubai
As new technologies and innovations continue to disrupt every aspect of our lives, similar advances promise to do the same for real estate and property. Encompassing every aspect of the real estate sector, from construction, funding, property management and brokerage, these innovations are set to change the real estate game entirely. Some of the more interesting developments are given below:
Once seen as a gimmick for movies and video games, virtual reality offers a real value addition for property developers and brokers. The ability to offer virtual tours of properties from anywhere in the world allows them to tap a global market. Advances in technology can allow customers to virtually decorate their prospective home, check out the views and even the surrounding areas. Currently only available to buyers in the luxury and ultra-luxury property segments with developers such as Nakheel already offering virtual tours of their flagship Palm Jumeriah project, VR’s inclusion in other segments of the property market is only a matter of time.
Crowdfunding is one of the more interesting and exciting developments in PropTech purely for its power to open up the. By pooling capital, what was once an inaccessible market can be invested in by many small investors looking to get into the property market and increases the amount of funds available for development. Smart Crowd, a start up in Dubai is one such company in this segment. Regulated by the Dubai Financial Services Authority, Smart Crowd offers prospective investors a chance to invest in the Dubai Property market for as little as AED 5,000.
Much virtual ink has already been spilt about blockchain and how it will revolutionize the modern world. For real estate, blockchain offers transparency and removes the need for third parties, making transactions quicker and easier than ever before. The implementation of blockchain will be a real wake up call for regional brokers, who will have to start offering real value and expertise to their customers in a world where property can be review, bought and sold in a matter of minutes.
Efficiency and proper utilization of resources and capital are the key things to keep in mind with this particular type of innovation. Modelled after AirBnB and Uber, sharing apps and sites aim to make sure underutilized spaces and resources are used properly, cutting down on waste. Some examples of developments in this space are coworking sites such as wework, which lets freelancers and entrepreneurs rent space on an as-needed basis at various cafes and spaces across Dubai to the app Nester, which aims to help building owners and individuals utilize their unused parking spaces.
Though still in its infancy, 3D printing has a lot of potential, offering the ability to construct houses at a fraction of the cost and quickly. For a growing city like Dubai, this is a technology that cannot be ignored and with the Dubai 3D Printing strategy aiming to make Dubai a hub of 3D printing and innovation by 2030, it isn’t going to be. With the question of affordable housing on everyone’s minds as Dubai grows, 3D printing offers real solutions for the affordable housing shortage.
Not every innovation needs to be ultra-high tech, sometimes it can be a way of doing an old process even better, such as the process of getting leads for a brokerage. The start-up Triplerr, so named because it claims to triple closure rates with their ‘Voice Leads’, provides pre-vetted leads to brokers covering a variety of data points and offers them for a certain amount depending on the urgency and prospective budget of the buyer. The real innovation comes from the fact that the leads are pre-screened, making sure that agents no longer have to waste time on junk leads and can work more efficiently with their time, a necessity in today’s market.
These are just some of the developments that have happened in the real estate sector in Dubai over the past few years. As time goes on, the true potential of these technologies promise to transform the real estate market, not just in Dubai but across the whole Middle East.
Wondering what all these new innovations mean for your investments and business? Land Sterling has a team of experienced consultants with an in-depth knowledge of the Middle East property market at your service. Send an email to email@example.com or call us on +971 43 808 707 to find how we can best help you.