Big Data as a Valuable Asset to Real Estate in 2020

Written by Posted On Wednesday, 20 November 2019 22:03

The real estate market is becoming more digital and virtual with Big Data

Big Data is altering the conventional ways followed within real estate industry. Earlier, the real estate agents were using the months old transaction data for analyzing purposes, but today it is real-time. The need of visiting the site numerous times before the buying or leasing process by investors or companies is no longer exists. Today, they can review the shortlisted sites that use data to meet their requirements on the bases of pros and cons.

The latest technology is designed to collect massive data in most effective way. It becomes simpler and cost effective to gather, store, organize and analyze the data- which further helps investors and companies to dive into the deep ocean of the opportunities. This results in more informed real estate decisions for the industry people.

Real estate industry has always emphasized on data for its decision-making process; however, in earlier times, it was collected manually. Now, the industry applies mathematical models to big data in order to assess and act on data in such ways that were impossible in the past when done with the help of workmen. The latest technique is enhancing market transparency and making it simpler for the market agents to predict future behavior in terms of volume, timing, and accuracy.

Big Data is a reality which is going strong and tends to make bigger strides in bringing true insights. It is now became an established technology that has outgrown the unwanted fuss. Enterprises in the industry are seeking real value and not claiming falsely to the customers.

As per the market researchers, big data consulting market will become $123 billion in size by 2025. In 2020, there are interesting changes that big data will go through –

  1. CDO will move to the foreground

Chief Data Officers (CDO) will be given more preference within the enterprise. In other words, they will no longer be working under chief information officers. Businesses will make them working at forefront of data monetization.

  1. Inevitable Robust data governance strategy

Businesses will require a foolproof governance framework to apply big data in the most secure way for better results. The framework must be able to deliver precise description of the data provenance, foster democratization, and manage accessibility.

  1. Dark data will make an exit

Every day, businesses gather a massive collection of digital data that is stored and never used by the management people for any purposes other than regulatory compliance. For businesses, it is easy to store data and thus, they keep doing it without leaving any single piece of information. Traditional data formats, documents, and files inside the organization are just present there and accumulated in vast number every passing hour.

This dark unstructured data can provide enterprises valuable data if they analyze it effectively. IBM professionals predict that by 2020, 93% of all data will be included in the Dark Data segment. In 2020, big data will include this dark data for processing to extract maximum benefit.

  1. Quantum computing is next big thing

The quantum computers will be getting ready to strike. These are powerful computers having principles of Quantum Mechanics working on their base. However, real estate industry needs to wait for next half a decade before the technology strikes the mainstream. Quantum computing will replace the traditional computing and perform analytics of unimaginable ratios. Big data predictions are just incomplete without quantum computing.

  1. AI and ML will Prosper

Big Data when combined with AI and ML technologies will allow businesses to experience algorithmic magic through several apps like pattern recognition, dynamic pricing, fraud detection, video analytics, etc. Companies investing their profits into AI are predicting an increment in their revenues by 39% in 2020. Moreover, the technology will assist enterprises in forecasting future events differently.

Demand of Big Data

Big Data demand will only increase with time as more robust technology coming to the market – it will become more affordable for companies. The new way to create big data algorithms will be include reports of data patterns. If the data feeding these models is biased, the decisions made by the models will be also biased.

Data is turning as a norm in enterprises in real estate industry. Companies that are unable to integrate big data will simply cease to exist in one or two economic cycles. These will not get the opportunities to reposition and monetize their data by selling knowledge or enhancing their services.

Big Data alone will become $103 billion industry by 2027 and will attract proficient data scientists and develop latest algorithms to deliver quality insights to real estate industry.

Big Data challenges

The technology is truly a game changer but is not free of challenges. Here, we bring the top challenges in Big Data-

  • Volume – Data is exploding and companies are having stressful time as they encounter space crunch to store data for precise analysis. More unstructured Data is just aggravating the situation.

  • Insights – generating insights in a timely fashion is a main issue. Companies are unable to keep big data idle in their storage.

  • Shortage of big data professionals – Skilled big data professionals are less in numbers. Those who have immense exposure in big data world are unavailable due to their ongoing projects.

  • Cybercrime – Constant threat and risk of cybercrime, privacy and data security is a great concern of the enterprises.

When the enterprises will be able to overcome these challenges, they can use big data as a valuable asset to real estate in 2020. With the help of right tools to collect data using skilled team, your queries will get resolved.

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James Warner

Business Analyst / Business Intelligence Analyst as well as Experienced programming and software developer with Excellent knowledge on Hadoop/Big data analysis, Data Warehousing/Data Staging/ETL tool, design and development, testing and deployment of software systems from development stage to production stage with giving emphasis on Object oriented paradigm.

https://www.nexsoftsys.com/

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