{"id":5522,"date":"2015-10-26T00:55:59","date_gmt":"2015-10-26T07:55:59","guid":{"rendered":"https:\/\/therealdaily.com\/?p=5522"},"modified":"2015-10-26T08:34:08","modified_gmt":"2015-10-26T15:34:08","slug":"how-will-real-estate-function-differently-in-20-years","status":"publish","type":"post","link":"https:\/\/theamericangenius.com\/housing\/editorials\/how-will-real-estate-function-differently-in-20-years\/","title":{"rendered":"How will real estate function differently in 20 years?"},"content":{"rendered":"

How will the real estate market function in 20 years? This question was posed on Quora<\/a>, where real estate industry insiders have described their visions of the market\u2019s future. <\/p>\n

Most predict online services and technological advancements will affect the industry, but they have differing ideas about how those changes will affect the realtor-client relationship.<\/p>\n

Some think buyers will rely less on agents<\/h2>\n

Tony Bako, CTO at Mosaic, an online solar energy investment marketplace, envisions a residential real estate situation where buyers rely less on agents and more on advanced technology to provide instant, detailed information about all aspects of a property.<\/p>\n

Bako describes the following scenario as a consumer on a futuristic home tour: \u201cPrior to arriving, [my latest edition of smart] Glasses reads me a description of the house specs and features through my car’s Bluetooth connection.”<\/p>\n

“I’m able to ask questions about ownership history, closest school, recent sales, etc., and receive verbal responses,” he continues. “Upon arrival, as I tour the home, I take a few snapshots with my Glasses for my reference, and they are added to my tour file.\u00a0I ask Glasses questions about the model of the stove I see, if the windows are single pane or double pane, if the local building code would permit renovations, etc.\u201d<\/p>\n

Innovation could change the industry<\/h2>\n

Ron Gin, CEO of KnowMyNestegg.com, also foresees technology having a large impact on the real estate market over the next two decades. He lists 13 areas where digital innovation could increase market efficiency: <\/p>\n

    \n
  1. crowd funding<\/li>\n
  2. social networks<\/li>\n
  3. investment analysis<\/li>\n
  4. insurance<\/li>\n
  5. data on physical condition of properties<\/li>\n
  6. local advertising<\/li>\n
  7. liquidity risk<\/li>\n
  8. market data flow on individual properties<\/li>\n
  9. MLS<\/li>\n
  10. transaction processing<\/li>\n
  11. property\/investment management<\/li>\n
  12. lead generation<\/li>\n
  13. mortgaging<\/li>\n<\/ol>\n

    Trusted advisers will remain relevant<\/h2>\n

    In spite of expanded digital real estate services, Billy Runyan, international property expert at Windermere Prestige Properties, stresses that professional, insider knowledge of a property and market will remain vitally important in a transaction as large as a house. He says sites online property data cannot replace an agent\u2019s expertise.<\/p>\n

    \u201cThe real estate market has a lot of variables that make it resistant to what I’ll call data modeling,\u201d Runyan says. \u201cJust because a home is in an area with somewhat stable prices does not mean there are not a few \u2018roaches\u2019 among them.”<\/p>\n

    Runyan adds, “Without a professional expert reviewing the actual site, taking photos, comparing other properties via a physical walk through and evaluating the real cost\/human value \u2018issues,\u2019 an up or down price of at least 20 percent based on actual condition is reasonable if not conservative.\u201d<\/p>\n

    Digital won’t reduce an agent’s role<\/h2>\n

    Austin, TX, realtor Shawn Rooker agrees with Runyan, saying digital services will not lessen the importance of customer service and the need for knowledgeable agents. Instead, he foresees technology strengthening the agent-client relationship.<\/p>\n

    \u201cAn agent’s UVP (Unique Value Proposition) revolves around how they are able to reach the consumer and provide a service. Anything else is unimportant,\u201d Rooker says.\u00a0 <\/p>\n

    \u201cReferral-based business will be even more important, assisted by social media,” he notes. “Agents who utilize technology optimally will find it easy to provide top-notch service to their clients if they stay on top of tech developments. Real estate will continue to be all about the relationship between consumer and consultant.\u201d<\/p>\n

    What do you think?<\/h2>\n

    How do you foresee the real estate industry changing over the next 20 years? How will digital innovation affect realtors\u2019 relationships with buyers and sellers? <\/p>\n

    #FutureOfRealEstate<\/h3>\n","protected":false},"excerpt":{"rendered":"

    As digital innovation takes hold, some wonder what the real estate practice will look like in another 20 years. It’s safe to say that opinions differ.<\/p>\n","protected":false},"author":337418,"featured_media":5523,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"wds_primary_category":0,"footnotes":"","jetpack_post_was_ever_published":false,"_links_to":"","_links_to_target":""},"categories":[254,256],"tags":[110],"class_list":["post-5522","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-editorials","category-real-estate-practice-editorials","tag-real-estate-practice"],"jetpack_featured_media_url":"https:\/\/theamericangenius.com\/housing\/wp-content\/uploads\/sites\/2\/2015\/10\/real-estate-in-20-years.png","jetpack_sharing_enabled":true,"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts\/5522","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/users\/337418"}],"replies":[{"embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/comments?post=5522"}],"version-history":[{"count":2,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts\/5522\/revisions"}],"predecessor-version":[{"id":5525,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts\/5522\/revisions\/5525"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/media\/5523"}],"wp:attachment":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/media?parent=5522"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/categories?post=5522"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/tags?post=5522"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}