T
he real estate property technology sector, or "Proptech," has been evolving over several years. It combines the real estate industry with technologies like AI, virtual reality, and blockchain to manage, market, sell, buy, and transfer properties. According to Ascendix Tech.com, Proptech is transforming consumer demands and expectations around buying, selling, and managing real estate.

    Realtors are leveraging Proptech in new ways, said Dan Weisman, director of innovative strategy at the National Association of Realtors. "The access to AI products for the average person has become a game changer," added Frank Morici, a Realtor at Morganelli Properties. Familiar names like Zillow.com and Airbnb are just the tip of the industry's iceberg.

    Weisman noted that while generational AI seems new, it's been around for over 70 years. What's different today is how consumers use more powerful personal technology in their daily lives. "People need to touch, feel, and get their hands on things to understand them," he said. Realtors are using Proptech to free themselves from mundane tasks, allowing them to focus on face-to-face interactions with clients.

    Weisman sees virtual reality and augmented reality platforms, supported by AI, as a way to explore available housing and showcase properties to potential buyers. These platforms can help homebuyers visualize and reimagine properties in new ways. Social media continues to play an important role in finding clients and marketing properties, and Realtors are using AI to create baseline comps for homes and manage inventory.

    While AI has made significant strides, it still lags behind in capturing renovations or recent home updates. Younger agents who are "digital natives" may have an advantage when it comes to adapting to Proptech. Lead generation has also become easier with the help of AI-driven tools like CoStar, which can save hours of intensive labor.

    However, Weisman noted that tech will never replace the personal touch required in real estate. The sector continues to face challenges such as low housing inventory, high demand, and fast-moving home sale turnover. Despite these challenges, Proptech is expected to continue evolving and improving the way Realtors work with clients.