We live in an age where disruptive technologies are transforming the global economy, and the real estate sector is no exception.
Old business practices are being swept away by new advances in fields such as artificial intelligence, big data, cloud computing and robotics, known amongst the industry as ‘proptech’. These advancements look to iron out inefficiencies and improve the consumer experience.
Australian companies are at the forefront of this of innovation. Here’s a quick look at some of the hundreds of local start-ups that are revolutionising the way property is designed, constructed, managed and marketed.
Archistar’s artificial intelligence helps property professionals identify potential development sites in just minutes. It can instantly assess the types of residential projects allowable on any site in Australia based on local planning and zoning rules, and even generates potential building designs, taking into account factors such as height restrictions, available sunlight and ventilation.
Inspace’s world-first software automatically converts architects’ CAD designs into virtual reality. It is transforming the way buildings are designed, built and sold by immersing people in interactive virtual worlds where they can tweak designs and change the layout of internal walls, equipment, furniture and the like. It is already in use by big property players such as Charter Hall, JLL and CBRE.
Perth-based tech company Fastbrick Robotics is the creator of Hadrian X, the world’s first fully automated end-to-end robotic bricklayer. It can construct multi-room homes from a 3D CAD model without any human intervention. Hadrian X recently recorded a bricklaying rate of over 200 blocks per hour, meaning it is now commercially competitive with manual workers around the world.
The home loan industry in Australia is outdated and customer-unfriendly, say the founders of Verteva. Arranging a mortgage typically requires lengthy face-to-face meetings and filling in forms that can run to 50 pages or more. Using digital technology and data analytics, Verteva brings the whole process online, making it easy and reducing the approval timeline from weeks to less than an hour.
Joust is billed as Australia’s leading home loan auction platform. The brainchild of two former bankers, it enables borrowers to put their mortgage needs to an online market where more than 20 banks and mortgage brokers compete (or joust) in a reverse auction by offering their best home loan rates. Joust says it reduces the average customer’s interest rate by 0.74 per cent per annum.
Brisbane-based AIRE is the maker of a ‘digital employee’ called Rita. She uses artificial intelligence and automation to deliver a daily list of optimised leads to real estate agents, and even tells them what to say when they make contact. Rita can process vast amounts of data in just seconds, turbo-charging agent productivity. AIRE won the prestigious 2020 REIQ Award for Excellence in Industry Innovation.
Managed is an automated payment platform that real estate agencies can use for free. It enables tenants to pay their rent and lodge requests for repairs and maintenance, which are then shared with landlords and property managers. Tradespeople are paid automatically once the job is signed off. Since launching in 2018, it has processed over $200 million in transactions.
Unfortunately, Managed is not available to private owners of rental properties – but Instarent is. For a nominal flat monthly fee, this app connects landlords with their tenants and performs many of the functions of a traditional property manager such as arranging online listings, managing tenancy agreements and organising tradies for repairs. Instarent is growing rapidly, adding hundreds of new properties every month.
My House Geek
My House Geek saves time for those researching properties by enabling them to get to know a neighbourhood before they move in. It allows them to search for properties and discover nearby schools, public transport and other sites such as shopping centres and childcare, and tells them how long their commutes would be to places of interest.
These technology advancements will no doubt transform the way the property industry operates going forward and we’re proud to see Australia leading the way in this space. For more property insights, check out why there are high hopes for a renaissance of Australian manufacturing or why the residential construction sector is cautiously optimistic, despite the impacts of the current health crisis.
This article has been prepared by Trilogy Funds Management Limited (Trilogy) ABN 59 080 383 679 AFSL 261425. This advice is general advice only and does not consider your objectives, financial situation or needs. You should consider whether the advice is suitable for you and your personal circumstances and we recommend that you seek personal financial product advice on your objectives, financial situation or needs and obtain and read the relevant product disclosure statement before making any investment decision.