Real estate has traditionally moved slowly because of the need for physical presence. As information is more transparent, that need for physical presence goes down and transactions can move quickly. This means stress goes down for sellers and returns go up for investors. ress in eliminating geographical constraints for real estate inves- tors as they seek to unlock better returns. Currently, about 93% of investors on the Roofstock platform live at least 250 miles from the property they are buying. Why does this trend matter? Now investors can take direct ownership in real estate and diversify their investments across multiple mar- kets, just like they would with their stock portfolio. Sellers are seeing the benefits here too as they now have access to a wider audience of potential buyers - including remote investors and iBuyer platforms such as OpenDoor and Of- ferpad scooping up homes across the country with much less hassle than the typical home-selling process. REMOVAL OF GEOGRAPHIC CONSTRAINTS Roofstock is already seeing prog- WHAT’S NEXT FOR REAL ESTATE AS A SERVICE? As machine learning and artificial intelligence continue to improve there are still many aspects of real estate transactions and property management primed for disruption. Here are a few other places to watch for continued innovation: PORTFOLIO & ASSET MANAGEMENT Real estate investors will likely see improvements in the coming years in how they manage their portfolios. As big data is made avail- able, investors will be able to see in-depth, real-time reporting on the value of their properties, cash flow
and key factors at a glance. Algorithms will also learn user preferences and goals and be able to show suggestions on available prop- erties to fit the needs of investors. CONSTRUCTION Several companies are working intensely on 3D printing in homes and this will only continue to grow as technology unlocks other inno- vative methods. This will have an impact not only for new homes be- ing printed, but also enable a more economical option for construction. DIGITAL CURRENCIES Blockchain and cryptocurrency are a topic that could have profound affects for many industries, including real estate. The transaction process is the core of real estate and blockchain offers the potential to enable fric- tionless, instantaneous transactions. Blockchain technology could also potentially bring significant innovation to the title industry by leveraging a distributed ledger system. • Roofstock is the #1 marketplace for investing in the $3 trillion single-family rental (SFR) sector, offering SFRs in 41 markets and 23 states nationwide. Roofstock’s transparent, innovative marketplace empowers investors to buy, own and sell cash-flowing SFRs online and build long-termwealth through real estate. Based in Oakland, Calif., Roofstock has completed more than $1 billion of property sales since launching in early 2016. Roofstock partners with property management providers and vendors across the country. For inquiries please email partnerships@roofstock.com.
FASTER DEAL FLOW Selling a home typically takes a tremendous amount of time. From listing a home to doing dozens of showings to the endless back and forth to get the deal done, it can of- ten take months for a home to sell. Again, technology companies are finding ways to meaningfully reduce this slow process. Two notable examples where fric- tion occurs is with title and notary services. States Title is a company using predictive analytics to create a modern title and escrow platform. Another company helping speed up the closing process is Notarize, whose technology allows you to connect with a live notary to nota- rize documents electronically, from anywhere in the world. There’s a broader focus on trans- action speed across online real estate marketplaces, taking inspi- ration from how quickly investors can exchange stocks on the market.
INFORMATION MANAGEMENT NETWORK :: 11
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