ADVENT OF PROPTECH CHANGING THE REAL ESTATE SECTOR
FIRST, it was FinTech which challenged how things were being done in the financial and lending services. Now there is PropTech, which is altering the entire spectrum of the real estate industry.
From the property managers to valuers, estate agents to developers, PropTech can either be viewed as “innovative or disruptive”, says Malaysian Institute of Professional Property Managers (MIPPM) president Sarkunan Subramaniam. Sarkunan says PropTech is something they cannot afford to ignore if they are to stay competitive.
“We have seen various property websites setting aside what was usual practice among estate property agents. Valuers are also under pressure as a result of artificial intelligence (AI) and there are website transactions where valuers have been made redundant,” he says.
“Across the board, the different areas in the real estate industry have to either reinvent/reeducate themselves or become a dinosaur. This applies to all segments of the property sector - residential, commercial and industrial.”
Innovative technology
“If the real estate professional embraces the technology, he will find it innovative. If he challenges it, he will find it disruptive. Either way, technology will come,” he says.
In the past, the property market has been pretty much bound by paper work, systems and processes. Looking back, and with the advent of technology, Sarkunan says all this seems archaic and arduous.
Property technology companies are coming up with applications and programmes which connect with property owners, tenants and management. Whether it is booking tennis courts or filing a complaint, these day-to-day activities can now be done via the mobile phone.
At the same time, clients want to see in real time the state of their investments. When a job is done, be it preventive or corrective, when it is done, the complainant is notified immediately. In other words, service must go up a few notches because client management is about connection. Non-property managers who are more service-oriented may be better than the real property managers,” says Sarkunan.
Taking this one step further, he urges developers to consider adding technology infrastructure into their projects at the start if they are targeting the global investor.
“We must set ourselves as an attractive investment destination. If I live abroad and am connected to what is happening to my investment here without having to come here physically, how much more convenient that would be.
Towards this end, MIPPM is organising management conference “PropTech: Driving the Future of Property Management” which will bring together about 10 local and foreign speakers.
Gurjit Singh has about 40 years experience in real estate in Asia, the Middle East and North Africa. Cambridge-trained, he has written publications on real estate development and management. Nitasha Sreekumar from Cushman & Wakefield India who leads the technology solutions division will also speak at the event.
Local speakers include Kelvin Wong, founder and CEO of iSAP Solutions who specialises in video and data platforms and Roslah Zainul Abidin, Vista Kencana Sdn Bhd COO, who has experience in software development.
In order to broaden the field of property management, Sarkunan says the Board of Valuers, Appraisers and Estate Agents Malaysia is also inviting qualified persons to register as property managers within a 12-month period starting Jan 2, 2018. Those who do not have the training but have the experience are encouraged to apply.
The aim, he says, is to be inclusive. “We want to take a liberal view and to take a more non-traditional approach to the field. Property management is not sexy but is necessary,” he says.