What future of the profession comes soon?

30.01.2018

The RICS /Royal Institute of Chartered Surveyors/ has launched a study on the future of the appraisal profession, its prospects and changes.

Here are some of the main lessons to date:

  •      57% believe that the profession will be more efficient thanks to new technologies
  •      19% believe that new professional skills will be needed

  •      14% are convinced that the profession will not undergo major changes
  •      10% think that the leading will be the customer service.

 

What are the trends to which this study directs us?

Buildings have been heavily impacted by the advent of technology, from their location through to design and construction, to how they are used, managed and transacted. It is expected that new and changing technologies will continue to have a significant impact.

Тhere are five key areas of technology that will have a significant impact:
• The Internet of Things (IoT)
• 5G
• Machine learning & robotics
• Building data - BIM
• Blockchain technologies.

The future valuation process as a result:

Now, imagine what a future valuation process could look like.

Pre-valuation negotiation process: rather than being reached through negotiation with a client, the valuation agreement could be done through so-called smart contracts, without human interaction. There would be no need for legal departments, and the smart contract could be put in a blockchain system for validation and transparency.

Investigation: in many instances, a property will still need to be inspected, but this could be done by drones on the outside and advanced robotics on the inside. Data could also be gathered more through secondary sources such as Google or Twitter, and through digital developments such as smart buildings and the Internet of Things, rather than the aforementioned primary data sources.

Secondary data can then go into an automated valuation model run by artificial intelligence, and the results of this process may be analysed and interpreted by a qualified valuer.
The outcome can be a value, value range or advice for the future, which could go into a visually attractive and easy-to-understand interactive valuation report.

As a result of these analyzes and forecasts for the future of the profession, the question of the evaluator's role in this new technologically mediated process naturally arises. And here is his key role as a consultant and advisor. In the age of technological solutions, human intervention will be increasingly appreciated when it carries expert judgment and practical experience.