With the digital age overtaking many established markets, only time will tell until it reaches and dominates the real estate market. The main problem is, according to a report from CNBC, government agencies and established companies are too slow to adjust to the changing times.
This was the sentiment echoed by BIMA Chairman Adam Graham, in an email sent to CNBC. The digital industry association head said, "Time and time again we have seen the mighty fall because they didn't pay attention until it was too late. Established companies have the ability to change direction quickly. It takes guts and determination but it is essential to surviving in a fast changing market."
His observations have rang true, with market disruptors such as Uber (for public transportation) and AirBnB (for the hotel industry) have started to gain market share over established players.
As for the real estate industry itself, a recent study predicted how the real estate market would be in the next few years. The study, entitled "The Digitisation in the real estate business" was authored by Carsten Lausberg and Patrick Krieger. As reported on ConjectBlog, there are two assets that can marry digitization and real estate. These are its representation of a valued investment and the need for complex processes in order to achieve a specific goal.
The study highlights that information in the real estate sector, "is the basis for making good decisions and the demand for information will rise as companies take a more professional approach." The information would include building conditions, creditworthiness of buyers and other information that is essential to make a decision for both seller and buyer.
Overall, the study concluded, that the real estate sector, "which has traditionally concentrated on land and buildings, is being transformed to a sector with a focus on information."