The primary real estate market is becoming increasingly transparent. Housing search and risk assessment services are being intensively developed, ratings of residential complexes and developers are being published, and competitive pressure in the construction market is growing.
Today, it is more important than ever for developers to understand the value of their own facilities - relative to the nearest competitors or individual market segments.
"It is the depth of understanding the relative value of the object in the market that is key in making the right and timely decisions. This applies to both strategic decisions at the stages of new sites, the formation of a unique trade offer or the definition of a niche object in the market, and tactical decisions to change prices or trade offers, "said Nick Kotsyuruba, head of research and development M4U.
For such a deep understanding, the developer needs to have up-to-date and detailed information on the market in which he works.
Such analytics are often collected by sales professionals or full-time marketers. However, this approach is sometimes unsystematic and does not guarantee impartiality and objectivity.
Data quality can also suffer, as the collection and in-depth analysis of information is a very resource-intensive task, requiring significant time and financial investment.
Instead, a responsible approach to generating such reporting includes:
- price and supply tracking in the primary and secondary markets;
- tracking of financial conditions: minimum amounts of down payments, terms of installments, credit opportunities;
- tracking the availability and quality of permits.
The developer should also be guided by the features of the objects:
- transport connection;
- availability of critical infrastructure facilities - shops, malls, schools, kindergartens;
- accessibility of leisure facilities (parks, entertainment centers, cinemas, ponds).
It is equally important to weigh the impact of negative factors:
- the proximity of routes and interchanges;
- distances from railways, industrial zones, polluting objects;
- population density.
"Additionally, it is necessary to connect algorithms that allow you to automate the assessment of balances of competitors and assess the quality of the portfolio in the dynamics," - adds Mykola Kotsyuruba.
It is obvious that high-quality collection and processing of such diverse data to meet the information needs of the developer need automation from the beginning and are best implemented with the help of specialists, rather than overloading staff.