Nearly two-in-three real estate professionals want greater connectivity between existing software systems
Nearly two-in-three (65 per cent) real estate professionals have cited Application Programming Interfaces (APIs) as the feature they would most like to see incorporated into the tech they use, ahead of security (29 per cent) and blockchain (15 per cent).
New research commissioned by Drooms, Europe’s leading provider of secure cloud solutions, points to the emergence of APIs as a disruptive force in the real estate industry. Two in three (67 per cent) real estate professionals believe that the efficiency of their organisations would increase if their systems were to have seamless integration with third party platforms giving them access to a variety of functionalities. Of these, 32 per cent believe the increase would be dramatic.
An API enables the interconnection of software systems and data between businesses and third-party providers, representing a major step forward in streamlining workflows. Despite its disruptive potential, the study revealed that over half (59 per cent) of real estate professionals would like to see APIs improved, ahead of other tech features such as security (41 per cent).
The study also identified Artificial Intelligence (AI) as the tech trend most likely to disrupt the real estate industry over the next three years, according to 47 per cent of respondents. This was followed by big data analysis (29 per cent); the Internet of Things (26 per cent); automation (24 per cent); shift to the cloud (21 per cent); virtual/augmented reality (18 per cent); blockchain (15 per cent) 5G (15 per cent); and mobile phone technology/mobile apps (15 per cent).
When asked to assess the potential impact of the adoption of these technologies, over half (56 per cent) of real estate professionals cited their capacity to dramatically reduce costs, while 56 per cent also cite the step up they bring about in the efficiency of business processes. Half (50 per cent) also believe their adoption can give companies a significant competitive edge.
The growing prevalence of automation in the real estate industry can be seen in several applications. Nearly two-thirds (65 per cent) of real estate professionals believe automation could complement and take over a significant proportion of document filing. Automation is also seen as an effective solution for investment reporting by 65 per cent of real estate professionals. Other functions that could be significantly automated, according to real estate professionals, include valuations (53 per cent); due diligence (47 per cent) and contract analysis (29 per cent).
Drooms has opened its API to its clients, giving them the ability to seamlessly integrate their virtual data rooms (VDR) with a range of software systems . This includes, for example, real estate market analysis software, which enables the consolidation of fragmented data and the immediate comparison of portfolios with the market. This means data-driven decisions can be made quickly without the need to log in and out of disparate systems, eliminating information siloes and saving time from working between applications.
Alexandre Grellier, Co-founder and Chief Executive of Drooms, says: “Our research highlights the pressing need for the implementation of greater connectivity in business processes across the real estate industry, to help streamline operations and ultimately drive productivity. By opening up our API, our aim is to support our clients’ organisational processes in a more automated and streamlined way by facilitating informed decision making and accelerating how deal professionals manage stakeholder access to due diligence documentation.”