Priyatham Kumar, Founder, Homes247
Along with government support, increased internet access and digitalization in Tier 1 and emerging Tier-II and Tier-III cities are unlocking real estate potential and driving local growth.
Priyatham Kumar
A KPMG and NAREDCO report projects that the PropTech market in India is set to grow at a compound annual growth rate (CAGR) of 9.6% from 2015 to 2025, highlighting its increasing impact on the real estate landscape.
Urbanization and digitization are reshaping industries in India, with technology leading the charge. Increased internet access and digitalization in Tier 1 and emerging Tier-II and Tier-III cities are unlocking real estate potential and driving local growth. Government initiatives like Digital India are creating a favorable environment for tech integration in real estate, streamlining administrative processes. PropTech is evolving with changing consumer lifestyles and accelerating urbanization, enhancing efficiency in time, cost, and convenience. By offering online platforms for property research, transactions, and management, it is transforming traditional real estate practices and improving user experience.
Advanced technologies are helping PropTech industry’s growth. They are bringing efficiencies in property transactions and management, in property search and marketing, and are reshaping how properties are bought and sold.
AI-powered PropTech is automating tenant screening and rent collection. It improves property valuations with detailed analysis and personalizes searches with recommendations and 3D visualizations. By predicting market trends and rates, AI helps buyers and sellers make informed decisions, increasing market transparency.
The integration of IoT in PropTech is driving growth by enhancing decision-making, connectivity, and energy efficiency across real estate assets. It enables data collection and analysis, leading to more informed choices and predictive maintenance.
Blockchain technology boosts security and efficiency in land records management, property transactions, and smart contracts. It streamlines processes, enhances transparency, and cuts transaction times. The Property Chain project, developed by NIC and the Ministry of Electronics and Information Technology, aims to create a unified blockchain-based land records system for India.
VR and AR offer virtual tours of construction sites and properties, enabling prospective buyers and renters to explore remotely. This boosts efficiency by minimizing the need for physical visits. VR also accelerates design decisions and supports informed choices by stakeholders.
Data security and 3D printing are key emerging technologies for PropTech. Data security is crucial for protecting sensitive information in real estate, ensuring that customer data remains safe from unauthorized access or misuse. 3D printing offers a sustainable approach to construction, paving the way for innovative building solutions.
Cities like Bengaluru and Hyderabad are emerging as key innovation hubs. According to a KPMG and NAREDCO report, these cities are home to a growing number of start-ups and tech firms. Tailored technology solutions and digital collaboration tools will further enhance communication, transparency, and efficiency. As the real estate industry moves forward, a new phase of PropTech innovation promises to bring fresh technologies and disrupt the market further.
