Denise Doyle, Telstra’s head of legal enablement, said the merging of digital and human work is the future of legal work as the need for any legal organization to have an agile digital strategy becomes imperative. Previous real estate processes were limited to individual employee hard drives, which led to errors and a lack of company cohesion. The growing importance of data, coupled with price pressure and increasing competition in all markets, has become the driver of technological adaptation. . However, adoption of digital practices has been slow despite a high level of digital vulnerability. Here we discuss why players in the real estate industry need to embrace technological advances, particularly virtual data rooms.
Forward-thinking companies are investing in data platforms to improve operational efficiencies and improve processes by leveraging technology, and especially virtual data rooms. VDRs will drive innovation in the commercial real estate space in the future as the potential efficiencies for real estate companies would be enormous. The streamlined process will help speed up transactions, leading to increased efficiency in the commercial real estate market.
With VDRs, your organization can take back control of your data. Here we discuss four reasons why the real estate industry needs to embrace technological advances.
VDRs can be used for a variety of real estate applications:
- Due Diligence
- Debt & Equity Fundraising
- Loan and REO Dispositions
- Private Placements
- Business Development
- Refinancing
- Board and Investor Communication
A VDR Makes Transactions More Efficient
Traditionally, property transactions have been inefficient and time-consuming processes.
Virtual commercial spaces, along with other tools, are helping to transform this hesitant and often frustrating real estate ownership.
Thanks to the cloud and better data management apps, the entire process can now be streamlined for business and personal purchases, right down to e-signatures. What used to take weeks or months can now take days.
In the past, the parties to a real estate transaction and their representatives had to coordinate times to meet at a physical location to store, exchange and sign documents. Today, a virtual negotiation room allows parties to perform many of the same tasks from the comfort of their own home or office, regardless of the distance between them.
Expand Your Virtual Offers
Virtual retail spaces aren’t the only virtual technology transforming real estate. Virtual reality tools help buyers make decisions about properties without having to visit them in person. These high-definition, interactive systems allow buyers to experience a property and make decisions about architectural changes or design elements before they are completed.
When virtual reality tools are combined with the security of a virtual trading floor, buyers and sellers can trade properties from anywhere in the world with confidence. The geographical nature of real estate makes it more flexible for those looking to invest or sell their holdings.
Benefit From Additional Time-Saving Technologies
VDRs also provide an easier and more secure way to leverage tools like electronic notification and remote notarization. While not all jurisdictions allow electronic or remote notarization of documents, those that do have created a tool to simplify and streamline an otherwise inefficient step in many real estate transactions.
Electronic certification is just one step towards a digital future for real estate. These regulations will pave the way for digital mortgages and digital transactions, where documents can be reviewed online and digitally signed to complete a home purchase, financing, or refinancing.