The Future of Real Estate: Big Data Analytics
COVID-Time showed us again, how big data analytics important for real estate industry. Unknown, unexplained, unsolved terms are more actual than ever.
Why we need big data analytics?
The buyers are looking for best house with cheapest price. The seller wants to sale houses with best price. The construction companies are trying to build houses with minimum cost. Real estate developers and investors have always sought to understand where to acquire property and when to trigger development. Portfolio holders, asset managers and portfolio managers need to optimize their holdings/portfolio and regularly assess conditions that lead them to divest or capture value. Everyone wants to know: what, when, how…
Nowadays, context of information science has its multiple additives. Facts technological knowledge is movement itself and it inherently has to deal with the huge quantity of data. Analyzing big data can be a very beneficial for fairly complicated real estate marketplace transactions and useful resource in making decisions. In general, as it is understood that real estate industry and digital transformation has a very large scope so it needs to be revolutionized. Numerous players are adopting large information guidelines in order to benefit a competitive area. Complicated algorithms are being evolved to execute trades via all of the dependent and unstructured statistics won from the assets.
One way to stitch together the data through advanced analytics is to use machine learning algorithms, which make it significantly easier to aggregate and interpret these disparate sources of data. Technology solutions automate the data collection by accessing application programming interfaces (APIs) and connecting various databases before preparing the data for analysis. After all, it is not the raw data that creates value, but the ability to extract patterns and forecasts and use those predictions to design new market-entry strategies.
The more companies use analytic systems, more data is generated to learn their models and improve their performance, thus increasing the number of users and extending the possibilities for new applications in real estate industry.
Especially big data analytics projects based on data sciences can redeem more returns and benefits from development of data-based product as well as from providing guidance using data.
Ultimately, data analytics should have its own strategic direction with long-term roles and goals beyond just a few pilot projects and use cases in real estate industry.
Author, Deniz Karahan, Member of Research Team at PropTech Switzerland, 2020