First Mutual Real Estate recently completed a swap of several properties. Using virtual reality, the company used a Virtual Homes application to show potential investors a 3-D glimpse of the properties — even standing inside them — without actually showing them where they were located. The results were predictable. Investors were flocking to the virtual land boom.
Investors discover the land boom
“Through our Virtual Homes application, investors can view video samples and model orders of 3-D home models of four different Omni Zone property types to discover this exciting investment opportunity,” said Scott Dreier, Managing Partner at First Mutual Real Estate. “They can discover what’s there, how the areas look and feel, view closings, inventory and pricing, and easily walk through potential property layouts.”
The app helps prospective buyers and sellers learn about the land boom.
“Virtual Homes lets investors see real life property model numbers, price points, inventory and home inspection information and then tour the sites in two dimensions,” Dreier said. “It lets them quickly assess a property and improve their decision as they help users explore all aspects of a virtual property, giving you many real-time options.”
Investors see the land boom firsthand
In an August 21, 2018 post on Seeking Alpha, the company wrote that in an August data analysis, it was found that investors sold their properties for an average of 52 percent less than they paid when sales closed. “Today, our Virtual Homes application lets investors view our Compass 360-degree Virtual Views of over 4,000 properties that have been put up for sale. In these 360 views, the developer can show the investor what it’s like to live in the properties,” said First Mutual Real Estate.
“In addition, we created market, inventory and price data for the properties on multiple real estate marketplaces, allowing our investor clients to effectively monitor the progress of each property and make informed decisions on the best course of action to take.”
That makes sense. Though putting land on the market is a moving target, what people can see from the virtual real estate market certainly is a certainty. It gives investors a taste of the prices to be achieved in any given location without any need to visit a site in person.
Investors are leaving piles of cash
In a July 1, 2018 press release, First Mutual Real Estate said it sold a property last month for 37 percent more than they paid. “Looking at the history, we see that in the last seven months, they’ve generated $19.8 million in rent from approximately 1,900 properties,” said company executives.
It’s a virtual land boom right now. Maybe with a little luck, in the long run, it’ll all catch on. The company says it will create an app for the concierge service within the Omni Zone virtual community. They are targeting in about 12 months for this new program, bringing the Omni Zone to over 100,000 members nationwide.
Perhaps these are just the first of many properties being sold to spur an innovation revolution.
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The amount of time people spend on their smartphones has risen dramatically in recent years, averaging over 12 hours per day in 2018. That number could only continue to rise as we continue our digital breakfasts, increase our use of YouTube and continue to spend time playing with our kids. All of these add up to a need for more virtual reality and location-based technology that helps people get more done.
This story originally appeared on ValuePenguin.