Why Implement Virtual Reality in your Real Estate Business
Virtual Reality is rapidly becoming a part of every modern business, and the real estate industry is not excluded from the list. In fact, VR technology opens up many innovative opportunities for real estate businesses to market their listings in a better way.
Generally, a real estate deal involves checking the listings, price negotiations, and an in-person visit to the property. This workflow is very robust and has always brought forth good results. However, it is very time-consuming for both the client and the realtor. Sometimes, visiting the property can be inconvenient for the homebuyers as well. This is where Virtual Reality tools can be a game-changer.
VR technology allows realtors to showcase the property to their clients as if they were there in the flesh. The client just has to put on a VR headset and experience an immersive three-dimensional tour of the property. Potential homebuyers can virtually visit multiple properties this way, even without having to leave their home once. This allows them to make an informed decision when buying or renting the property.
As for the real estate companies, employing VR tools allows them to expand their reach to more clients. As the internet is not confined to any physical boundaries or borders, realtors can offer their listings to global clients as well. This can be of great help to long-distance buyers as well as to those who are looking to migrate to a different country.
Realtors can also offer a 360-degree virtual tour of the property for clients who do not have access to a VR headset. Alternatively, they can create an interactive virtual tour, wherein the user can move from one place to another within the property by clicking on various hotspots. Both of the guided and interactive virtual tours can be easily included along with the property listing on the website.
Virtual Reality also allows realtors to add furniture and other essential items in the property so that it looks more appealing and cozy to the clients. Staging has been an integral part of the real estate business for years and is widely used when uploading photos of the property on the website. VR technology can make this more realistic.
Virtual staging is one of the best ways to market a newly built home or apartment. This can be done by creating 3D tours of the property with furniture and fixtures. That makes it very simple for the client to visualize how their future personal space will be. As this connects potential buyers to the property emotionally, it motivates them to make a quick decision.
Real estate businesses can also employ VR technology to boost the sales of under-construction properties using virtual staging. Realtors find it very difficult to market such properties because empty buildings and unfinished structures do not attract buyers at all. This gap can be efficiently filled using architectural 3D visualization and virtual staging tools.
Virtual staging of the property has another benefit too. Apart from creating a premium and lasting impression on the potential buyers, it can also promote virtual commerce. Realtors can easily add a purchase option with any element when staging the property and creating the 3D tour. This allows the clients to customize the space as per their personal preferences.
For instance, real estate businesses can integrate an online store with the staged elements. This will give the clients the options to, say, change the style of the furniture or choose a different light fixture. This not only makes the virtual tour of the property more interactive but also allows customers to imagine how it will be when they move in.
Even if a client does not make any changes to the interior staging during the virtual tour of the property, there are still chances that they may find the items included in the 3D tour interesting and may buy them eventually when they buy or rent the property. This is always an added advantage for the realtor.
Related Reading: Tech Disruptors in the Real Estate Space
The Key Benefits of Employing VR Tools in Real Estate Business
The most striking advantage of incorporating Virtual Reality in real estate business is that it saves time for both the realtor and the client. It is much cost-effective than taking the client to check out multiple properties.
Besides, an immersive 3D virtual tour of all the properties listed on the website will be available round-the-clock to the clients, which means that they can virtually visit any property at any time. This allows realtors to work with more clients, which means more opportunities to sell a property.
Another great thing about VR technology is that it gives clients an instant sense of ownership. As they get the options to customize the space as per their liking during the virtual tour, checking out the different areas of the property quickly establishes a personal connection with the clients.
This can be very helpful in inspiring them to make a purchase or sign a rental agreement. It is also possible to add to the customer experience by including interactive tools in the virtual tour, such as mortgage calculators and neighborhood descriptions.
There is no arguing that Virtual Reality has already made an impact in the real estate industry. Most of the big names have adopted the technology for improving their reach, and soon, every real estate business will incorporate VR technology for better productivity.
If you would like to work with an expert to build your VR strategy, we can help. Contact us.
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While most sectors have battled their respective digital disruption by enhancing their own digital capabilities, the real estate sector has been considerably slow to react. This is rather astonishing when you look at the size of the real estate business globally where it surpasses all other sectors to form the most valuable commodity valued at over $217 trillion. In the digital era, no industry is safe from disruptions and this includes the real estate sector as well.
How will custom software transform the real estate business?
With the overwhelming majority of today’s buyers belonging to the millennial group, the sector is witnessing an increased demand for digital innovation. From finance to aesthetics, there is a wide range of applications for technology in the real estate sector and this includes both commercial and residential assets.
What drives the need for digital in the real estate sector?
The three main driving forces behind digital adoption in the real estate sector are
- Buyer Experience
The buyer experience is the ultimate selling point for any property today be it commercial or residential. From the discovery of the property to guaranteed maintenance operations after a sale, today’s buyers need seamless services on all fronts. This could be made possible through a highly connected digital ecosystem that is spread across the entire buyer journey. There is a need for bringing a mature and trustworthy operational model for real estate dealings. Custom digital software can help bridge the gap between realtors, property managers, landlords and tenants in a multitude of ways and bring about transparency and accountability in matters where large financial transactions are involved. Besides the real estate sector draws quite a big eye from the authorities and compliance standards for safety which are amongst the toughest of all sectors. With a digital backbone, it becomes easier for compliance requirements to be validated and audited by government agencies. For buyers, this provides peace of mind and a hassle-free tenure with all risk aspects sorted, at both individual and government level.
What can digital transformation do for the real estate sector?
Now that you are well aware of the need to drive digital innovations, it is time to have a look at ways in which digital transformation can reshape the real estate sector. A gamut of technology innovations exists today that can deep dive into the various nuances in the sector and create lasting experiences for buyers and tenants and transform properties into global commodities. Let us examine the top 5 ways in which the real estate sector can transform with custom software.
Discovery of properties
In the 1980s, close to 22% of home buyers relied on newspaper ads and 8% relied on their friends to discover new properties to buy. In 2017, more than 51% relied on the internet to make a property or a home purchase decision. The internet has become the hotbed for real estate marketing and if you are not out online with full guns blazing, chances are that your listed property or home may not attract any potential interest from the buyers of today. Real estate developers and sellers need to have an attractive website for their property in addition to maintaining a sizable listing on the most popular property portals amongst buyers. Doing your homework on SEO and taking steps to include feedback from powerful search analytical tools provided by search engines like Google themselves, you can improve the online presence of your property considerably.
Related Reading: A Property Management Software can be a boon for real estate managers if adopted the right one. Find the secrets of finding the right property management software here.
Changing the role of real estate agents
Most digital disruptions have focused on massively reshaping the roles of personnel involved and here too, the picture is not different. With the rise of digital portals and custom software, buyers and sellers can connect more directly without losing a hefty price in terms of commissions. But agents are not completely left out as well. They, on the other hand, have a plethora of marketing and customer service tools to offer more privileged and customized services for buyers. The transformation can, however, be a bit painful for real estate agents dealing with residential properties as they can be choked out by a large number of digital listing portals wherein sellers can directly provide information, arrange site visits and even proceed with legal documentation without the agent’s help.
Transforming site visits
By the year 2025, nearly 20 million households in the US would be owned exclusively by folks in the millennial generation. If you expect them to drop by after work or on a Sunday for a property visit, then chances are you will never hear from them after the first inquiry. In the digital age, you can use custom software to schedule and arrange for a suitable site visit time slot that is favorable for both the potential buyer and the agent. It can even facilitate pre-visit conditions such as a deposit, online application, valid document proof, etc. Going a step further, virtual and augmented reality embedded apps can provide a 360-degree walk-through of the property on the buyer’s mobile phone anytime and anywhere. With such digital innovations, the target market would not hesitate in spending an extra premium thanks to the splendid buying experience.
Related Reading: Self Showing App, an IoT application built by Fingent streamlines the complete inspection and leasing procedures of real estate firms. Find more in the case study here.
Setting the terms of leasing or buying
Gone are the days, when you needed hours of documentation to create a transparent lease or buying agreement that aligns with regional laws and complies with all relevant risk management standards. Today custom real estate software can provide digital lease or buying agreements that can be validated by local, regional or national government authorities directly without middlemen leading to significant cost reduction in the entire process. A digital portal could record every transaction from the first site visit pre-requisites to valid document audits, payment information, terms and conditions of the agreement including periodic rental revision agreements, automated payment schedules, etc. Such a massive transformation can bring about significant changes to both residential and commercial real estate properties.
Preventing fraudulent transactions
Having a digital backbone brings with it guaranteed transparency and accountability for every transaction or commitment made between a buyer and a seller. Besides, digital portals having direct validation credentials with government authorities can provide digital verification of documents, identity proofs and other associated legal requirements for every transaction. This can aid in transparent pricing schemes, elimination of bribes and middlemen fees, provide streamlined tax revenue to governments for every deal in the real estate sector thereby eliminating fraudulent transactions.
Related Reading: Read through the case study to know how Fingent developed a customized all-in-one property management solution for one of their leading real estate client here.
Though much of the transformation mentioned above is in various initial stages, the real estate sector holds immense potential for future digital innovation. Custom software for the real estate sector can challenge traditional buyer-seller relationships and even wipe out middlemen in the long run as we mentioned in one of the possibilities above. However, staying ahead and relevant at the same time in the digital era is what key players in the sector need to focus their attention on. Write to us to know how our digital transformation specialists can enable the best of real estate innovations for you.