10 Real Estate Technology Trends to Know About in 2024

Real estate technology is rapidly evolving, in part to keep up with changing consumer preferences and demands. One of the biggest shifts is that Millennials and Gen Z now make up 41% of home buyers. This trend will only continue to grow, especially since 78% of Millennials in the U.S. still identify buying a home as part of the American Dream. Since both Millennial and Gen Z home buyers and sellers are tech-savvy and have grown to expect digital options for everything, the real estate industry has had to modernize and innovate. 

Given these shifts, we’ve seen more virtual home tours, personalized recommendations for property listings through AI and machine learning, and real-time updates for property listings via mobile apps. Real estate professionals can use these innovations to serve and guide their clients.

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10 growing real estate technology trends

It can be difficult to keep up with the rate at which things are changing. But knowing what’s on the horizon can help you prepare for these inevitable changes. Here’s a list of the top 10 real estate tech trends that should be on every real estate professional’s radar in 2024.

1: Artificial Intelligence (AI) and Machine Learning

Artificial intelligence (AI) and machine learning (ML) remain at the forefront of real estate technology. Tools such as Zillow’s Zestimate tool and The Redfin Estimate use AI and ML to pull together recent home valuation data to predict home prices with a 2% accuracy rate. These tools help buyers and sellers predict how much homes are worth in their geographic area.

With AI-based solutions making up 26% of technological innovations in 2024, it’s no surprise that real estate companies are expanding the use of AI and ML with other customer-facing applications, including:

• Historical data analysis
• Pricing strategies 
• Evaluation of global market trends
• Identification of customer needs by tracking client emails, organizing leads, and aiding contract workflow

Another area where AI’s use is expanding is with automated help desks, which allow real estate companies to address clients’ requests 24 hours a day. Help desks will soon go beyond basic chatbots and promise to be one of the most exciting innovations of 2024. 

2: The Internet of Things (IoT)

The Internet of Things (IoT) is the technology behind smart homes and devices. It works by embedding sensors and computing technology into various items, such as smart light and locks, and creating a digital connection with the cloud. 

While this technology is largely seen in newly-built properties, property owners are increasingly retrofitting older properties with smart devices as well. As more people implement smart technology into their homes, it will become increasingly important for real estate professionals to understand and adopt this tech. 

Some examples of how the IoT is impacting the real estate industry include:

• Regulating heating and cooling systems
• Connecting with smart locks to control access remotely
• Overseeing activity on properties so agents can respond to clients’ inquiries immediately 
• Sending automated notifications about maintenance or late payments  

Agents can utilize this technology during client walk-throughs, and it may eventually render in-person showings and inspections obsolete. 

3: Big data and analytics

Big data and analytics allow real estate agents to gain valuable insights about customer behavior, market trends, and investment opportunities. Datasets are collected from search engines, social media, property listings, government records, and mobile apps to provide information on everything from listing descriptions to demographics to industry trends, and can help buyers and sellers make data-driven decisions about potential investments.

Increased access to data helps agents provide more personalized services to their clients. They can, for instance, better anticipate their clients’ needs and better match them to properties. They can also create more targeted marketing campaigns by analyzing consumer preferences, needs, and behaviors.

While this technology has promising applications in the real estate industry, professionals should keep in mind that its uses are still in the beginning stages. The availability, quality, and accuracy of the data is not always there. For it to be truly useful at this point, there would need to be a constant influx of data that is updated in real-time.   

4: Blockchain and cryptocurrency

Another trend gaining traction in real estate is the use of blockchain technology, a shared database or ledger that allows for a secure and decentralized record of transactions.

So far, use cases include verifying encrypted transactions; storing documents, such as property titles; and digitally signing agreements with smart contracts. But the most familiar use of blockchain for many is cryptocurrency. 

Once a niche payment mechanism, cryptocurrency’s use has expanded dramatically and it is now regarded as a legitimate financial tool. In the real estate industry, the use of cryptocurrency is still in an experimental phase. Crypto has only been used in a few transactions, but these transactions have been successfully executed. 

Buyers using digital currency have also seen great results with near-instant settlements and increased transparency for all parties involved. As the use of crypto gains traction and becomes more mainstream, it will be important to watch how blockchain technology influences the closing, payment, and sale processes.

5: Drones

Drones are providing exciting new opportunities for real estate agents, especially for marketing. They can capture photo and video footage from a bird' s-eye view, which can make for stunning listing photos and videos that are sure to catch a buyer’s eye. According to the MLS, incorporating aerial shots into listings increases the chances of a sale by 68%. 

Drones can also help agents and consumers anticipate potential property issues before inspection. For example, a drone could inspect a rooftop to determine whether repairs are needed. 

Drones can also help get an accurate picture of neighborhood changes over time. Known as drone mapping, the drones take high-quality aerial photos and video that can be used to map out markets and get an accurate appraisal of an area. By recording and analyzing this data, investors and agents can analyze trends, allowing them to make informed decisions about investments and pricing strategies. 

While drones are exciting gadgets, agents must check privacy laws and airspace regulations before using them. They must also get a Federal Aviation Administration Remote Pilot Certificate or hire someone who is certified.  

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6: Mobile apps  

Mobile apps are now used everywhere and for everything, and the real estate industry is no different. There has been a surge in real estate app development, with the most popular ones enabling real-time communication among agents, buyers, and sellers on rental and purchasing platforms. 

These apps' databases are frequently updated, and features like push notifications can inform users about changes to sale and rental listings. Financial tools like mortgage calculators have also become increasingly popular.

These apps have gained popularity over the years because Millennial and Gen-Z clients are comfortable using digital platforms to find properties and frequently use email and text messaging to communicate with agents about elements of the sale. 

Many of these apps, such as Zillow, Redfin, Realtor.com, and Apartments.com, will be very familiar to real estate professionals, buyers, sellers, and renters. 

7: Personalized content 

With the use of some of the previously mentioned trends, such as big data, analytics, and mobile apps, real estate professionals have more information about customers than ever before. 

Through these datasets and predictive analytics, agents can better understand their clients and create email and social media messages tailored to them. 

For example, agents now use TikTok and Instagram to show apartments and houses. Some also create YouTube channels or TikToks to talk about the real estate market, news, and tips and tricks that will resonate with their audience.

8: Digital twins

Though it may seem like a work of science fiction, the real estate industry has started to create virtual replicas of houses or even entire blocks, known as digital twins. 

With this technology, architects and developers can plan out the details for single buildings or entire developments. It’s a great tool for planning structural aspects, energy consumption, space utilization, and environmental impact. 

Digital twins can be used throughout the process, monitoring the construction in real-time to ensure that it matches the original design. After construction is finished, this tech can be implemented into property management from monitoring energy efficiency to forecasting the impacts of any modifications. 

9: Data security

We all know that the real estate industry comes with a great deal of sensitive data. Sales and rental deals include buyers and sellers providing their personal information, such as social security numbers, bank details, date of birth, and credit scores. 

Agents and other professionals must secure their customers’ information and prevent data breaches. Data security practices and software should be implemented to protect an agency's clients and reputation. 

Many companies, like CertifID, offer software that encrypts data, prevents cyberattacks, alerts users to fraud, secures networks, and manages risk. Agencies should take this a step further and implement practices to track regulation compliance to avoid any legal complications.  

10: Wire fraud prevention

Digital technology has made coordinating the transfer of funds via wire more convenient, but it has also exposed new vulnerabilities in real estate transactions that cybercriminals are eager to exploit. Cybercriminals can profit hundreds of thousands of dollars by manipulating the payoff process. Once the fraud occurs, it is very difficult to get the money back. In fact, 71% of funds wired to cybercriminals are never fully recovered. 

Fortunately, the industry has responded to this emerging threat with security platforms that can give customers increased peace of mind. Use an industry-leading platform, like CertifID, to validate user identities and securely collect and share encrypted key wire transfer account information.

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Closing thoughts on real estate technology trends

While the real estate industry will continue to be driven by a human-centric approach that prioritizes connecting with customers and building relationships, technologies that facilitate the buying and selling process will only continue to evolve and dramatically alter how each element of the transaction will look in the future.

Real estate professionals should stay abreast of the latest trends to maintain a competitive edge. However, it’s also essential to remember that while technological advances—such as AI, ML, big data, mobile apps, and drones—are improving buyer and seller experiences, new security threats are emerging. It’s up to real estate companies and professionals to secure customers’ data with security software and protocols and protect them from wire fraud. 

As agencies examine and update their security measures, CertifID is here to help. We offer services that provide peace of mind and stop fraud in its tracks.  Request a demo to see how your firm can benefit from a security tool like CertifID.