Modern technology and real estate practice in Nigeria

Information and Communication Technologies (ICT) have become the basis of modern societies, and activities are being simplified to technologically meet the needs of people willing to adopt them in their daily lives. The advent of ICT has influenced the activities of real estate professionals around the world. Despite sectoral changes and the introduction of innovative technologies, real estate professionals have been quite conservative regarding the modernization of the industry that threatens to limit their influence in society.

The overall global outlook is that the 21st century will be largely driven by technological change. The world is changing fast and very fast; the old order is rapidly crumbling and new ones are emerging just as quickly. Advances in information and communication technologies (ICTs) have brought about changes in almost all spheres of modern humanity. The real estate practice has also had the presence of ICT, particularly in developed countries.

The advent of the internet and social media has boosted the avenues through which we interact with customers, allowing us to more effectively connect with those whose lifestyles accommodate those platforms. It has also allowed us to expand our reach faster. Around the world, companies, organizations, and even governments are responding to rapidly evolving technology by creating new business and operating models for unmanned aerial vehicles, also known as drones, that get things done without any physical presence.

Globalization has played a significant role in the way the Internet has improved the location economy. A more mobile and technologically advanced workforce now means businesses can operate anywhere. Although not all companies can afford telecommuting devices for employee use, many organizations have been able to develop strategies that reduce the amount of office space needed to accommodate employees.

This has helped increase efficiencies among businesses by lowering the cost of leasing large spaces in expensive locations. The Internet has made it possible for various transactions and activities to take place without the need to travel for a meeting at a specific location. The rapid growth of the Internet and the need to gain a competitive advantage in business made it imperative for organizations to adopt the use of ICT for productivity and strategic management.

It is certain that technological progress will affect both demand and requirements for real estate, but with different impacts on different types of real estate. This describes the direction that the world, particularly the developed world, has charted for the efficient delivery of services, including real estate. Suffice it to say that we are not moving at the same technological pace as Western economies.

The main challenges for the growth of the sector in Nigeria are still facing us. Challenges such as comprehensive, accurate, reliable and readily available data, with the accompanying challenges of significant delays in processing construction approvals; deadlines for the registration of titles and legal execution; lack of transparency; restrictions on legal title; and high cost of real estate acquisition, including financing costs, registration costs, and service fees.

These challenges are surmountable and must be approached with a scientific bent. We must generate verifiable data for strategic real estate decisions, as well as provide valuable advisory services to serious investors and developers to enable them to make intelligent, fact-based decisions that ultimately improve their profitability. This has become one of the fastest growing parts of our business. These should be one of the core service implementations of real estate practices. If we fail to do that, we won’t have the essential impact on the industry.