Our brains won’t process the enormous amounts of data we consume daily without the help of Big Data. It is implemented into lots of fields and the real estate industry too.
So let’s consider the advantages of this technology for your real estate platform.
The potential of Big Data in the real estate sector
Brand-new technologies in the real estate field allow us to make up business models, organize human resources, and settle financial issues. One of them is Big Data. It is used in the real estate business globally and can be defined as processing, analyzing, and retrieving the information from the storage with loads of data.
Big Data makes managing and organizational processes efficient, easy, and productive to reach business goals faster. An indispensable tool for this technology is machine learning, which solves many business issues. A vast set of data is explored with a specific algorithm. Then, a user is provided with a solution to his request.
Real estate perspectives with Big Data
Big data greatly simplifies property management, and its prospects are significant. They are based on technology capabilities for all the market participants:
- Real estate platforms mainly provide a bounded description of objects. Big data tools enable customers to compare the diverse characteristics of several immovables and improve selection accuracy.
- Big data predictive analysis estimates the amount of time required to reach a certain destination in rush hour, calculates and shows the number of diverse places on the map, such as post offices or hotels nearby, etc. Consequently, it helps to choose the most rational option.
- Big Data also opens lots of new opportunities for business, such as enabling clients personalized offers, determining the type of immovables, etc.
Benefits of Big Data for real estate
Now, let’s explore the advantages of this technology in the real estate industry.
Financial risks can be lowered by Big Data analysis. It helps to estimate the conditions, previous renovations and provide former owner’s data. Users receive the information for proper estimation and recommendations regarding the object.
Therefore, it’s easier to choose suitable options for clients in real estate agencies.
Insurance models’ optimization
Big Data can be quite useful in insurance app development as well. It is also efficient for insurance services in real estate platforms, as lots of clients prefer to secure their new apartments. In this case, Big Data allows indicating the insurance plan for a particular district. The deeper analysis helps to suggest the insurance model required for each buyer and creates custom plans.
Clarification of client requests
Immovable property agencies sometimes face incomprehensible requests from consumers. Big Data features can overcome this problem. Special tools analyze and define the requirements of customers and help make offers that meet all the clients’ requests.
Customers are interested in the true price of the object to immediately identify the contradiction that can be resolved by Big Data. It can vary due to many factors, but Big Data tools allow assessing all the characteristics fairly and precisely to provide a detailed description and actual cost. Thereby, both agencies and clients take advantage of knowing the objective value.
Proper choice and credibility
Making a decision with Big Data in combination with machine learning and artificial intelligence is more efficient, quicker, and easier. Technologies help to make the pricing more reasonable and transparent, prevent fraudulent activities, and improve the quality of property descriptions.
Advanced marketing strategy
This technology is also quite beneficial for marketing evolvement. For instance, Big data can help to obtain essential info about the clients. Agencies can track clients interested in buying or selling real estate and offer them cooperation. Big data also helps to analyze modern tendencies and cost to send relevant offers to users.
It’s significant to mention that these technologies will only work with corresponding custom software using Big Data with machine learning algorithms.
Ways to use Big Data in real estate
We’ve considered the main advantages of Big Data. It’s high time to cover the ways of implementing this technology in the real estate business.
This approach implies more detailed info offered to all the users. Due to this fact, many platforms, such as Trulia, Redfin, and Zillow, analyze the real estate data to deliver broad descriptions concerning the latest surveys, objects for rent/sale, maps of areas with filters for conditions/cost/placement /etc. The main aim is to provide genuine, transparent data and minimize fraud actions.
Zillow is one of the most successful examples of platforms with this technology: developers have built a Zestimate tool on the basis of Machine learning, which can precisely assess a cost of an object and the average cost of apartments in different regions. In addition, it can predict the future cost of an object by current characteristics.
Another feature that requires Big Data implementation is finding more info regarding the apartment’s area and other essential characteristics.
Big Data helps to make a thorough description of various regions, including the neighborhood, nearby places (restaurants, cafes, medical and educational establishments, post offices, clubs, museums, libraries, parks, etc.)
This information provided by Big Data is extremely helpful to choose the less dangerous area for living and avoid threatening incidents.
Big Data researches local educational establishments of all levels. It indicates their rates, reviews, popularity and delivers this information to users.
Smart home is a convenient home appliance equipped with sensors, which estimate the pressure, number of visitors, temperature, ecological conditions, etc. Big data, combined with the Internet of Things technology, helps to fully automate living spaces. Commonly, the amount of data from each house is not enormous, but immense infrastructures send extensive loads of data, so Big Data is implemented to avoid time consumption.
Selection of land plots for building
The process of searching for a suitable place for an architectural project also requires complex algorithms, so applying Big Data will be pretty beneficial. Its algorithms will assess the relevance of the office or shopping mall in a particular area. Predictive analysis will evaluate the project’s utility in various areas for a couple of years forward to find the most successful location.
Big Data can also raise sales by analyzing customers’ requirements, preferences, and tastes so that real estate agents can deliver enhanced service, relevant offers, and consequently, increase income.
For example, developers of Trulia have created Trulia Insight software – an instrument for researching and analyzing preferences and tastes, financial status, and previous purchases of customers. As a result, Trulia specialists defined 72% of users currently interested in purchasing the new apartment.
All in all, Big Data can drastically change the real estate market by increasing the security level, making the choosing process quicker and more efficient for customers. Real estate agencies are allowed to define the needs of clients and increase sales. As a result, the extension of this market is growing.
You should remember that every up-to-date platform has implemented this technology.
So, if you want to develop a startup in this field, you should definitely use all the opportunities of Big Data.