01/12/23

Real Estate Insights

What is proptech? How does it impact Madison real estate?

Proptech is the newest buzzword in the real estate industry, but the concept is nothing new. Proptech first entered the scene in the ’80s when large real estate firms created software to streamline their productivity.

Since then, it has exploded into an $18.2 billion industry that has changed the game of real estate. Remember those old stands of housing catalogs in the grocery store? It would be laughable to consider that a viable marketing strategy these days. If your real estate agent uses proptech wisely, it can have a major impact on the success of your real estate transaction.

What is proptech? 

Short for property technology, the term encompasses all tech tools real estate workers use to optimize buying, selling, researching, and managing a property. Technically, the term applies to all digital real estate tools. It includes software like Appfolio, which enables renters to pay their rent online. Probably the most famous example of a proptech company is Air BnB. This company disrupted the face of travel when it enabled users to turn their own homes into vacation rentals.

But not every piece of technology is in the headlines like AirBnB. Most proptech tools aren’t very glamorous. But your real estate agent must know how to use them. Prop tech tools are highly effective in both marketing your home and navigating the transaction process.

What proptech tools does The Hub use? How can it help me?

At The Hub Realty, we always keep a pulse on the market. We incorporate all the most important proptech tools. 

Search Tools

We have our own property search software that enables Madison locals to search for their perfect home. Filter your search by location, price, and amenities. Once you’ve set up your parameters, our search tool will alert you whenever there’s a new property that meets your criteria. 

We list on all the major proptech sites

When you list your home with The Hub, it will be listed on all the major property listing websites. Zillow, Redfin, Trulia, Realtor.com, and MLS all showcase your home. That way, we ensure your home is seen by everyone searching for a home in the area, no matter what their favorite proptech website is. 

Virtual Tours

Professional HDR photos, drone footage, videos, and virtual tours are powerful ways to get a buyer daydreaming about your property. They help you put your best foot forward, and are a great way to market your property to any potential buyers from different cities. 

Secure and Remote Digital Contracts 

We use software that allows our clients to create contracts quickly and easily. The quicker you can create an offer, the better chance you have of fighting off competition and securing your dream home. 

Digital Home Estimates

Our website features digital home estimates and quarterly market reports. You can easily educate yourself to make an informed decision before listing your home.

Digitized Back-Office Processes

With every transaction there is a pile of paperwork, but we’re as paperless as possible. Our streamlined digital processes make it faster to process your paperwork for you, which means you get to closing day much faster. 

Mortgage Lender Tools

We only recommend mortgage lenders that make the mortgage application process as easy for you as possible. E-signature, digital uploads of important paperwork, and digital checklists make a formerly chaotic process easy to understand. 

What’s the future of proptech? 

The tech industry grows and improves every year. In the next decade, we will likely see a lot of change to proptech, and The Hub will be the first to sign up. Here are a few things we’re excited about: 

VR 

Virtual property showings, 3D home tours, and virtual staging are already normalized in the industry. But VR technology gets better every day. According to Forbes, VR is currently a 27.96 billion dollar market but is expected to grow to 252.16 billion by 2028. This can only mean one thing: the capacity of VR has only just begun. There is potential for VR architectural visualization for builders and VR headset tours for buyers. 

Automation

Automation has played a big role in efficiency. CRM usage is commonplace for real estate agents, but the future could see this take it a step further. Property valuation tools will become even more accurate, and even negotiation could be automated.

Fractional investment opportunities 

It’s no secret that real estate is an important investment opportunity for many people. The future will bring more opportunities for fractional ownership of properties. You could invest in commercial real estate for as little as $100.