4 Technology Challenges the Real Estate Industry Will Face in 2022

The real estate industry is facing several tech challenges that are currently monitored by experts

Real estate is an industry that has benefited significantly from the impact of modern technology, but for every advantage that a new system or solution offers, there are caveats and pitfalls to consider as well.

Here are a few of the main obstacles that real estate organizations and professionals still need to overcome in 2022, and the possible routes forward which can avoid these concerning conundrums.

Security

The issue of data security impacts all industries, and real estate is especially susceptible to exploitation because of the sensitive nature of the information involved in every transaction.

To cope with the increase in cyber threats, businesses need to pick technologies that are built with security in mind. That means choosing services like Paperless Pipeline real estate transaction management software, rather than settling for second best.

Given that data breaches cost millions to recover from on average, businesses can easily justify any additional expense that comes with choosing secure software and hardware, as the alternative is unthinkably expensive to encompass.

Client Interactions

Technology has allowed realtors to give sellers unfettered access to tools that let them showcase their properties in the best possible way via digital platforms. 

In turn, this has meant that buyers don't even have to visit homes for an in-person viewing but can rely on photos, videos, virtual tours, and more to make an informed decision about whether or not to put in an offer online.

The problem with this is that it means agents are not getting the same face-to-face access that they had with clients in years gone by, and are instead potentially being sidelined in the process by technology. 

This can have the knock-on effect of meaning that deals take longer to strike, and sales opportunities are missed because the human connection isn't there.

Harnessing a combination of advanced video conferencing, rather than impersonal emails or even voice calls, and an insistence on sticking to tried and tested physical property viewings can help agents to deal with this dilemma.

Employee Training

In the rush to roll out new technologies, real estate agencies and brokerages often forget that employees need to be trained in the use of software and hardware as it is adopted. If they aren't, then this can lead to technological investments going unutilized, or being improperly implemented.

Employee training comes with its own costs and concerns, but it is better to embrace it and see it as a benefit, rather than a burden. If all team members are up to speed with the tech at their fingertips, the long-term positives for the organization will be extensive.

Team Cohesion

Following on from the issue of not having enough in-person time with clients because of technology turning real estate into a remote industry, businesses also have to contend with the internal fragmentation that the modern workplace perpetuates.

If some people are working out of an office, while others are working from home, this might be good for things like recruitment and retention. However, team cohesion can suffer, and a clear distinction between in-house and remote workers will develop, which could lead to fractures.

Being aware of this and proactively encouraging social bonding between colleagues is one route forward. 

And of course, technology can also provide the answer, as modern communication tools give team members a way to stay connected to one another even if they are not sharing the same physical space.

There are other twists and turns to the implementation of technology in the real estate industry, but having a handle on these main talking points will give you the foundation on which to build a successful business in this sector.