What is IoT (Internet of Things)?
The networking and data sharing capability that allows information to be sent to and received from objects and devices (such as fixtures and kitchen appliances) using the Internet.
When you see the phrase “IoT-enabled” , “connected” or “smart”, it means it’s connected to the internet, capable of communicating data and being controlled remotely or automatically.
Examples of everyday use?
If you own a smart speaker (Amazon Echo, Google Home, Apple HomePod), a Ring video doorbell or a British Gas smart energy meter, then you are an active IoT user.
You have probably heard about Smart Homes, and Smart Home Products… These are all IoT devices made specifically to enhance the living experience.
What smart home products are currently on the market?
This will give you a good overview of the products currently on the market! Click here
What does IoT mean for Real Estate
and why should I care?
1. Catering to customers needs:
Customers are looking for more automated solutions to perform their daily chores that make lives easier. For instance, a smart HVAC system can learn the tenant’s schedule and automatically start before the tenant enters the home. This will help in enhancing the user experience and also help to reduce energy bills.
Also smart security system will help ensure safety by sensing and analyzing regular activities in the house and notify the user of any changes or irregularities.
2. Energy Efficiency
IoT plays a key role in capturing the energy consumption pattern of systems and can initiate predictive maintenance to ensure smooth operations. It can be implemented to automate building maintenance services, enabling users to track operations of machines like elevators, HVAC systems and lighting systems by collecting data such as operating time, idle time, and maintenance cycle. Along with the analytics, devices and sensors will record the pattern of operation and notify the need of maintenance whenever required, either from a case of irregularity or in case of predictive maintenance. This can be directly translated into tangible benefits like operational cost reduction and intangible benefits like smooth operations.
3. Sales & Lettings
Properties for sale or rent that have inbuilt IoT devices & systems can command a higher premium and sell quicker that similar buildings. In business models such as co-living & student accommodation, these devices can offer a real differentiated service that saves costs (reduced energy bills) and offers a great customer experience such as entertainment and also simple maintenance & fault reporting.
IoT and Security implications – A hackers paradise?
Brokers and Agents who are unfamiliar with this technology risk underestimating a property’s value when it comes to efficiency, security, and convenience.
What’s more, real estate companies are encountering issues of security and privacy when a smart home is sold to a new owner.
IoT has been referred to as The Wild West – The ICO in the UK (The ones behind GDPR) created this 6 page report which some of you may find interesting:
IoT for Real Estate – In The News
Samsung and Vodafone team up for smart homes launch: V-Home by Vodafone brings in Samsung’s SmartThings platform to offer consumers a full smart home solution.
Smart homes ‘could save the NHS £2.5bn a year’: 78,000 adapted new homes a year will be needed over the next decade, presenting a huge opportunity for construction firms and technology manufacturers.
Are you a PropTech startup or expert focused on IoT ?
techUK’s IoT Programme has a core vision of stimulating the take up of IoT in the UK. It does this by bringing together the key players in IoT in the UK to; drive core issues that affect trust in IoT; ensure the right policy and regulatory regime is in place and develop markets and business opportunities:
Next week, join us for an exclusive interview with Duke Long, on how IoT is currently being used in the USA within Commercial Real Estate. In the meantime be sure to check out his very insightful blog for original opinions on the future of the commercial real estate sector.