Big data is gradually transforming the conventional practices in real estate by enabling the stakeholders to make data-driven decisions.
FREMONT, CA: Big data has contributed to data-driven advancements across the industries. The ability of big data to process high-volume, high-variety, and high-velocity of data makes it a key technology for a plethora of data-intensive sectors. The real estate industry is not an exception in the above context. With a massive growth in competition, big data capability can offer real estate decision-makers the insights to grow and stay competitive. Further, big data capability can combine data from diverse sectors and enable realtors to make better property decisions.
Conventionally, real estate decisions were mostly based on instincts and first impressions. However, data analysis forms the basis of the decision-making process in real estate at present. Further, 51 percent of the home buyers found their property via online search in 2018 based on a report. The massive growth in the trend of online search for properties is also resulting in the generation of vast repositories of user data. Such data can be processed to extract individual user preferences and expectations. Thus, big data and analytics capability can play a key role in the processing of online data.
Various stakeholders can use big data-driven insights to make smart investment decisions. For instance, predictive analytics, coupled with big data capability, helps the investors minimize risk when it comes to property investments. Similarly, realtors can use big data capabilities for property evaluations, while financial institutions rely on the capability to determine loans and minimize losses.
Thus, realtors, as well as property buyers, are eyeing big data as the key technology that can answer complex property-related queries allowing them to make better decisions in the long run.