Weekly Roundup 11/4/21
The intersection between real estate and technology.
Breaking down the future of real estate. Insights, stories, trends - straight to your inbox every week.
One of the biggest questions of our current time:
“What does the landscape of real estate look like post COVID?”
No one really knows. The only way to find out is to follow along in real time. That said, we can look at macro trends, and try to predict the secondary and tertiary effects to follow.
https://www.pwc.ru/en/publications/real-estate-postcovid.html
Many of the fundamentals will remain the same. But, how we jump on these tailwinds is critical to thriving in the increasingly competitive environment. Agility, innovation, and sustainability will win long term.
Speaking of agility, innovation, and sustainability - the top 1% of communities of the future will hold true to these principals. Cities right now are simply too large to support efficient allocation of materials. Imagine an area that provided you with everything you needed. Outdoor space, working area, living room, and entertainment - all within walking distance. Not to mention, done quicker, cheaper, and through sustainable energy approaches.
https://thinkrealty.com/technology-for-sustainable-communities/
Smaller, unique communities in desirable locations could be an extremely appealing option for family and friends looking to spend more time together.
Could the residential real estate market ever see Amazon like platforms? Basically, one touch yourself into a new home. Seems far out to most. Not to Compass CEO Robert Reffkin.
https://therealdeal.com/2021/10/28/compass-reffkin-one-click-real-estate-is-the-future/
iBuyers such as Opendoor would probably lead the space. Sounds nice in theory, but there are currently too many gatekeepers that keep this from happening. From title, to appraisers, to lending institutions, all have vested interest in keeping these tech companies out. Not to say this won’t occur down the line, but likely not for more than another decade. Maybe in 2035.
On that note, who even knows if iBuyers will be around in 2035. A prominent name in the digital real estate world just halted their home flipping business.
Wouldn’t be a complete WNW newsletter without a little blockchain/digital real estate talk at the end. Real estate is naturally a heavy based transaction business. Paperwork out the wazoo, contracts, and the moving of money. Inefficient on an individual level, but honestly works pretty damn well at scale. After all, we’ve followed these record keeping methods for centuries. But could it be improved through blockchain?
The digital equivalent to paper records, this new tech everyone seems to be embracing provides more security, transparency, and access to the traditional housing market. It would remove much of the friction involved with buying/selling a home if you could just click a few buttons and be done. All in all, saves money, reduces energy output, and provides transparency. Again not yet here today, but a tailwind that could be lucrative if properly executed on.
For more in depth real estate specifics, check out the links below and begin your investing journey today.
Cheers. Let’s make some money friend.
Twitter @WhyNotWealth