The real estate industry in Africa has a lot of potential for maximum growth. The downside is that there are so many threats preventing it from growing in Africa. According to the estimates made by the United Nations, Africans are expected to reach over 2.5 billion in 2050. This translates to the African continent experiencing economic expansion which will affect the real estate industry in Africa positively.
Currently, there are many threats in the African real estate industry which include:
Technology, though it has its merits, is also a threat to the African real estate industry. Professionals who have been in the real estate industry for years now, but have no good knowledge about how to harness technology for the real estate industry are the ones suffering the most.
Currently, you have to think about implementing SEO best practices on your blogs in the real estate industry, think about data security, privacy rules, algorithm upgrades, and marketing technologies.
Instead of real estate professionals only focusing on how threatening technology is, they should look for ways to harness it well. Apathy towards technology especially by older real estate professionals will do no one any good, everyone should decide to adapt to technology. Teams and brokerages in particular need to continually keep up with emerging trends and technological advancements.
Also, tech decisions shouldn’t be made lightly, whether they include setting up an email account, selecting a domain name, or selecting a web-based content management system. Look for someone you can trust for tech guidance if you don’t consider yourself a tech expert so that your real estate blogs or social media pages will do well. When you encounter difficulties, an IT specialist can troubleshoot for you and advise you on cost-effective options.
In the African real estate industry, we do not have enough properties for listing. This has contributed to being a major problem in the real estate industry. The economic situation of African countries makes it difficult for people to acquire or own property or a house. So, when potential buyers go to check out properties, they end up being disappointed because they do not have a wide range of selections so they can locate a home or land that precisely matches their requirements.
To combat this issue, properties should be made more accessible to people. Selling properties at an affordable rate is important. Real estate agents that have websites should ensure their websites have enough listings so that potential buyers will be able to make their choice. The development of the commercial real estate sector may be directly impacted by this.
Expand your network, establish relationships with neighbourhood companies and real estate investors, and list regional news and events on your website. With such useful information available, more people will be drawn to your retail real estate website, increasing traffic. Additionally, by keeping your visitors informed, you gather additional leads to eventually turn them into clients. Utilize the existing listing. Create a compelling advertisement that highlights listings in popular neighbourhoods at reasonable prices.
Would you rather rely on a website or ask a friend about their experience working with a certain realtor if you were a consumer looking to purchase a property? We believe that the majority of purchasers would place more faith in their friends and relatives. Referrals are the main source of business in the real estate industry.
For a large number of agents, this is how they make more than 50% of their income. So, the lack of referrals in the African real estate industry has been a major threat to the growth of the industry. When a real estate agent does not have clients supporting his work and suggesting others, it gets challenging to generate additional leads.
Do not only be focused on closing sales with your clients. Try to maintain contact with them. When you build relationships with clients even after a sale has been completed, you will most readily come to their mind for recommendation with someone who needs your services. This is one easy way of dealing with this threat in Africa.
In the African real estate industry, another threat to it is online real estate agents. The millennials and Gen zs carry out most of their activities online. So, they search for properties and real estate agents online. They prefer doing everything from the comfort of their home or anywhere they are. Based on this, there is so much competition online in the industry instead of real estate agents working together. Some even go ahead to talk badly about their competitors in a bid to attract customers.
Create a presence online and provide resources and knowledge that will help existing and potential clients. In European and American countries, for example, their real estate industry is growing because they know that building an online presence will make the industry expand.
Another problem that the real estate industry is currently facing is dealing with too much paperwork. For each client and each property, too much documentation is involved. Going through each document and documenting well can be time-consuming. It also reduces your productivity and time. You will spend hours buried in paperwork which is not ideal.
Digitize your records and end your reliance on manual paperwork. Several online tools can help you and your workers with that. The best thing is that you can easily access this paperwork from anywhere and at any time. Also, use tools to send, sign and receive documents online.
Additionally, you can integrate real estate marketing automation into your lead generation, outreach, and other company processes. By doing this, it is easy for you to access important data from anywhere.
The African real estate industry will grow considerably if the professionals in the industry are open-minded and willing to adapt. The threats listed here and their solutions can surely bring about a positive change in the real estate industry.