Little by little, commercial real estate practices may be changing and it’s all thanks to the millennials.
The millennial generation, currently 20 to 30 somethings, are attached to technology – cell phones, tablets, social media and more. According to Brian Fielding, a commercial real estate industry veteran, says that because of this attachment to technology, ease and efficiency are their top priorities and they’re bringing that with them into the real estate industry as the next generation of agents and investors.
The commercial real estate side of the business will see the biggest impact, Brian Fielding says. While there have been advances in this part of the industry – most notably, more online listings and mobile apps – there are still improvements that millennials will most likely demand.
For example, online listings in many cases still include just one exterior photo and a few stats on the price and size. If job sites like Glassdoor and Indeed are any example, millennials will want more information as quickly as possible before committing. This would mean more photos or even virtual tours may become the norm, Brian Fielding believes. There are already companies out there that can help make video tours of properties as easy as possible, such as Matterport, that will allow realtors to forgo hiring professional videographers.
Millennials reliance on technology also allows for more time-saving techniques. This includes things as simple as texting with listing brokers to the use of mobile apps to schedule property tours, such as Showing Suite. And Brian Fielding says the industry may also see more and more listing and industry articles shared via social media
The consumer side is also going to have to change for millennials. While referrals will certainly be a part of the business as usual, millennials who don’t know who to trust are going to turn to the Internet as their first source. Just as they do with apps and sites like Yelp or Trip Adviser, they will be looking to compare brokers via online reviews, specialties, locations served and price ranges. According to Brian Fielding, Realtor.com already has a “Find a Realtor” search, but someone has yet to establish a large database for commercial agents with more complete profiles.
“All of these activities are already taking place in the residential real estate industry,” Brian Fielding said. “The smart bet is that the commercial industry will follow … at least in part.”
He went on to say that while commercial transactions are driven almost exclusively by financial modeling, it is hard to imagine that commercial real estate brokers will not avail themselves of some of the online capabilities. It might include some ability to tour the property and the general market, including local demographics, traffic patterns, adjacent stores, malls, etc.
To learn more about commercial real estate, please visit www.brianfielding.com.Read More