Augmented Reality (AR) and Virtual Reality (VR) are technological advancements that are disrupting every industry, and real estate is no exception. As the impact of the coronavirus pandemic is felt across the globe, the real estate market is witnessing a major reshuffle. Because of health concerns, stay-at-home orders, and economic uncertainty, many businesses including real estate are going through a painful rough patch. However, in an attempt to revive the real estate market, many real estate companies across the world are embracing digital transformation. Technologies like AR and VR in real estate are transforming the way people buy real estate properties these days and most real estate agencies have started using these technologies to provide better services to their clients. According to a recent report by Goldman Sachs, it is expected that AR and VR will have an $80 billion market in 2025. Here is how AR and VR technologies in real estate are reshaping the industry
One of the biggest challenges for real estate developers is marketing a property that isn’t constructed yet. Because buyers find it difficult to picture a home that hasn’t been built yet. Traditionally, real estate developers would have to construct costly showrooms with full-scale models of interiors. As you can see, these marketing methods require a considerable investment of time and money. Virtual Reality can effectively solve this problem. Real estate agents can use VR technology to show both the exterior and interior of properties that aren’t built yet. This way potential buyers can get a clear look at what is being offered.
In real estate, customer experience is the key to carrying out a successful sale. The buyer would want to have a complete feel of the property before making any purchase decision. But in times of crisis like these, buyers are hesitant to visit the property. Also, at times, this visit might be time-consuming and expensive. So, real estate companies are using VR and AR technologies to make this process simpler. VR technologies allow millions of people to visit properties without leaving their homes. They can put on a VR headset and experience immersive, 3D walkthroughs of properties. This helps the buyers make a better purchase decision in the comfort of their homes.
Virtual commerce is an exciting application of AR and VR in real estate. Consider a situation where you’re taking a virtual tour of a property and you like the whole property but that interior is bugging you a little bit. This wouldn’t cut the deal for you. But virtual commerce can set this right. With the help of Virtual commerce, you can just go to the online store, select the elements of the property you want to change, and add it to your tour. This way you can style and adjust the whole property according to your taste. This opens up numerous opportunities and verticals that would make this whole virtual tour experience an exciting one.
This is one of the most under-looked applications of AR and VR in real estate. In an ideal situation, real estate agents and landlords need to communicate with tenants a lot. Although this may seem like a simple task, this is an annoying and time-consuming process that can be a major problem for businesses that offer short-term vacation rentals. Virtual Reality technologies help landlords communicate efficiently with tenants. Tenants can simply put on VR headsets and experience 3D virtual tours that help them understand how the utility services at a property work. This way they can avoid any unnecessary contact with landlords, thus improving the customer experience, and bringing benefits to both landlords and tenants.
Undoubtedly, VR and AR in real estate have the potential to transform everything about this industry-from the way people shop for a home to how real estate agents list them. These advanced technologies are here to stay and only the real estate companies that leverage these technologies will come up as winners. We, at Intone, understand why real estate companies need the power of digitization now more than ever. We help our real estate clients create complete transparency by forming structures to expedite and monitor multiple key processes essential for transaction optimization, tenant and asset management, and value creation and retention in a global turbulent, and dynamic real estate market. Let us help you unlock the new real estate power with you.