Technology and proptech are both having a positive influence on real estate businesses in Europe and the UK – and will do for the next few years.
That is according to two different studies just published.
The COVID-19 crisis has fueled the uptake of technology and proptech to help UK sector businesses communicate and sell online, says the Property Week Power of Proptech 2020 study.
The most popular tools for property professionals during lockdown have been integration and CRM software MS Teams and Loop (used by 48%) and Zoom and Skype video chat platforms on 41.6%.
Looking ahead, three-quarters of respondents say they will use video chat technology to a greater degree for meetings with overseas clients and colleagues and most believe it will have the greatest effect on the industry over the next five years.
Nine out of 10 say using technology has been highly or mostly positive and will have a beneficial impact on revenue over the next five years. Six out of 10 say it has been a major reason why they have maintained productivity.
Having recognised the usefulness of these tools, property companies intend to invest more in digital meeting or working from home solutions (81.8%) and creating digital links with the marketplace (50.2%).
More use of technology and proptech
Meanwhile, around two-thirds of businesses are making more use of technology, according to PwC’s 2020 Emerging Trends in Real Estate Europe report. And around nine out of 10 believe usage will continue to grow in the next five years.
Around one in three are buying technology products from third parties and a quarter are investing or creating links with proptech companies. Those not investing are confused by the options or believe they are too small to benefit.
Despite the major economic downturn caused by the effects of the Coronavirus crisis, investors still believe real estate is an attractive option, particularly while interest rates are at a historic low, says the report.
Industrial and logistical real estate is heading commercial property demand and there is considerable room for growth in Europe, where online sales have potential to increase.
There is growing demand for mixed-use buildings, which provide more flexibility as the world changes following the pandemic.