PropTech expects to see significant growth in the coming years
Hyderabad: Investors are showing interest in investing in property technology (PropTech) companies. The use of modern technologies in the field of real estate has been increasing in recent times. This will expand the opportunities for PropTech companies. Hence, these companies have become attractive for investments. CII and Colliers estimate that the annual investment in these companies will reach $1 billion (Rs 7,700 crore) by 2025.
Investments in PropTechnology companies in 2020 were estimated at $551 million (Rs 4,242 crore). CII and Colliers jointly released a report entitled 'Real Estate 3.0: Technology Leads Growth'. The Corona pandemic has led to increased use of technology in the real estate sector. With the help of this technology, it is possible to work remotely.
"The Internet of Things (IoT), Virtual Reality (VR) and Artificial Intelligence (AI) were used before the Corona. However, the use of this type of technology has multiplied in the last two years,” the report said. With the focus on health, the use of smart building materials and systems that automate air quality has increased.
AI, VR, IoT and Block Chain are expected to play a key role in changing the face of the real estate business. Building management will become more efficient if 5G technology is implemented. Technology is expected to make the Indian real estate sector more transparent.
The report notes that technology innovations in the real estate sector are at an all-time high. Technology has penetrated into all areas, from planning to design, construction techniques, facility management and property management.
In the wake of these changes, PropTech expects to see significant growth in the coming years. Otherwise, privacy, data security, costs to buyers and builders and increased reliance on power supplies are all challenges to the implementation of technologies in the real estate sector.
"Manually reducing the demand for labour can lead to job losses for some. At the same time, the demand for specialised workers will increase," Akhil Saraf, founder of Reloy, said the use of technology in real estate would reduce costs and increase property value.
