Right To Excellence - Real Estate Summit 2024: Experts highlight importance of technology in real estate

NEW DELHI: Technology adoption can play an important role in expansion of real estate industry in India, said experts participating in a panel discussion at "Right To Excellence - Real Estate Summit 2024" organised by The Times of India on Friday.
Vikas Wadhwan, CFO REA India and business head of Proptiger, said real estate is currently lagging behind in technology adoption and there are three areas where tech can change the overall real estate landscape.

He identified the three areas as: Search and discovery, transaction space and construction.
The REA CFO further said that there have been rapid adoption of technology in search and discovery after covid.
"Audiences have grown exponentially on digital platforms - be it for finding better options or to get a better price. However, tech adaption is lagging in transactions and constructions," he said and added "the real estate industry and government has to put efforts if the sector has to contribute significantly to the GDP."
"The real estate contribution to GDP stands at 8% and if India aims to become a five trillion economy, it has to reach around 12-13%," he said.
Wadhwan also sought a federal framework for real estate and exposed to the states otherwise different states have different way of implementation which is sometimes complicated.
Amit Masaldan, chief revenue officer of Housing.com, said the real estate demand in Tier 2 and Tier 3 cities is increasing rapidly and they are looking to further expand in these markets.

He further said that consumers are currently aspirational and are looking for bigger luxurious houses and better quality of life. Masaldan asserted that the real estate market is in a robust condition and there was no bubble in the industry.
Additionally, he said that industrial activities and infrastructure push in cities like Gurgaon and Noida are one of the significant factors driving real estate growth.
Masaldan said real estate industry is actively adopting technologies such as augmented reality and virtual reality. "Artificial intelligence will prove to be beneficial to provide better consumer experience in the coming future," he added.
Wadhwan, when asked about possible returns on real estate, said that it will be unfair to compare real estate investment to financial investment. He thinks to get a 7-8% return on physical assets is a good return on investment.
"Real estate is not purely an investment, there are a lot of emotions attached to it. We love our houses and there is no amount of return that can actually give you that joy than the joy of having a home," said Wadhwan.