Many factors make Australia a ripe market for proptech development has a good future ahead. Strong talent pool of real estate, big contracting companies and cross border deployment of Australian real estate developers and funds add to the bonanza.
The popular land down under of Australia is the largest country in Oceania and the world’s sixth largest by land area. This wild and beautiful country consists of a variety of natural wonders as well as stunning cities. It is the flattest continent with tropical rainforests in the northeast, mountain ranges in the southeast, southwest, and east, and dry desert in the center. Though the capital of here is Canberra, the largest and the more popular city is Sydney. This highly urbanized area is home to more than 25 million individual and ranks high on quality of life, education, and health as well political right. It is interesting to note that more than a quarter of Australia’s population is immigrant. This highly skilled workforce plays very well for the development of Australia and its economy.
In terms of economy, Australia is a wealthy country that has a market economy, low poverty, and a high GDP. It has various sources of high income like mining-related exports, telecommunications, banking, and manufacturing. The coastline, as well as the cities, provides a varied landscape and property options. All these factors make Australia a ripe market for proptech development. The startup ecosystem of here is also thriving and entrepreneurs are building global products, striding ahead in technology.
Steady economic growth but with divergence in performance across geographies and industries has resonated through to Australian property sectors. Cities of Sydney and Melbourne have recorded high property sales and growth, while Brisbane and Perth remain stable.
Proptech in Australia has the potential to enhance the overall efficiency, and transparency of the sector; enhancing the performance over time, enabling better overall returns and providing an attractive new channel for capital investment in a real estate associated product, with global scalability. Australia’s Proptech Summit took place in Sydney for the first time in 2018 and offered a prime opportunity for proptechs.
Technology is definitely changing the proptech of here and how business is done in the real estate sector. The most recent property boom is driven by the new generation buyers that prefer online methods and tech savvy methods over traditional processes of newspaper ads and tiring personal visits over time. New technologies are taking over like live streamed auctions, drone footage, 3D floor plans, video walk-through and virtual inspections. Social media and online marketing too are picking up in the space of proptech in Australia.
Some of the interesting startups in this space are:
Urbanest specialises in developing and operating purpose-built student accommodation that provides so much more than a place to stay. It has a people-first culture shapes the vibrant, welcoming and enriching student communities, specifically designed for today’s student preferences. This culture creates opportunities for the employees to build their skills, explore their potential and, in turn, ensure they deliver against high expectations.
Designed for quick deployment, the Aconex cloud platform combines speed and flexibility to meet the specific needs of each client. As a comprehensive solution, Aconex software shares data and processes throughout the project life cycle, easily transitioning during new phases and handovers while offering a secure cloud environment.
PEXA (Property Exchange Australia) is Australia’s online property exchange network. It assists members – such as lawyers, conveyancers and financial institutions – to lodge documents with Land Registries and complete financial settlements electronically. PEXA was formed in 2010 to fulfil the Council of Australian Governments’ (COAG) initiative to deliver a single, national e-Conveyancing solution to the Australian property industry. It was originally known as National e-Conveyancing Development Limited.
Oneflare started in 2012 with a small group of people who sat in an office so small, if one of them moved their chair no-one else could do the same. This team worked long hours simply because they believed in, and were passionate about, connecting people. That passion is something that still exists today and is shared by all 75 people in our Sydney, Australia team. With over 300 categories, from plumbers and electricians to pet groomers and interior designers, Oneflare is where your to-do list gets done.
OpenAgent is about making the process of selling homes simpler. They work every day to make it easier for Australians to sell their homes. They thrive on a culture of transparency and continuous improvement, where they can add value and support you in your home selling journey, because we believe that Australians want to sell their homes for the best possible price and have a good experience along the way.
These are just a few of the really interesting startups that are doing great work in the space of proptech in Australia or proptech here. There are multiple platforms for CRM, online handling of documentation, classified and listing sites for the property. Some companies are totally reinventing the wheel by even providing options like live auctions and VR enabled tours. These services cater to the new generation audience that is driving the proptech in Australia.
There has been a gradual but significant shift in the traditional way of buying/ selling real estate here, and the rental as well as sale market, largely in the cities, drives it. We can expect considerable input to this field by the cities as that is where the demand is growing and becoming interesting. As Australia looks to solve its housing deficit challenge, new immigrants, as well as increase in skill of locals, are sure to bring new innovative technologies to the field. This is just the start for proptech in Australia and the industry is set to boom.
The Way Forward for proptech in Australia
Proptech in Australia has just started to get attention and get developed. With a little more push on a culture of innovation as well as supporting the growing startup ecosystem will ensure that more solutions are found in this field. The sector is in its nascent stage and needs a push to prosper more. As the property market of here heads towards a boom, so will proptech here.