Landlords put up with a lot of headaches when dealing with tenants and potential tenants. SmartEstate is one business that is trying to remove some of those headaches by implementing a system based on Artificial Intelligence and the Internet of Things. Its system uses machine learning to automate functions related to the rental transaction that were previously accomplished purely by humans like landlords and brokers
This type of service can bring down the cost and increase the efficiency of real estate management services by reducing the need for a person at every step of the process. An owner can live hundreds of miles away and still be able to seamlessly rent out his or her properties by using a system like SmartEstate’s. And, yes, a Blockchain can do the same thing with a Smart Contract system. A California-based startup called Propy bootstraps Ethereum Smart Contract functionality to execute real estate deals. Systems like the ones used by Propy and SmartEstate aim to make any transaction that includes real estate an automated, “set it and forget it” process.
When the owner of a property lists it on SmartEstate, the company will install an Internet of Things device that controls access. When a renter wants to use SmartEstate to rent a property, the Internet of Things system will create a “cloud key” that can be used on any Smart Phone. Prospective tenants can “borrow” a cloud key for 30 minutes — long enough to take a look around. The benefit to the tenant is that the moving in process can start soon after he or she has rented the property without having to wait for a physical key. The tenant can also decide exactly how long he or she wants to rent the property and can easily transfer payment to the owner using the SmartEstate system.
The benefit to the landlord is that the cloud key will only be valid for the agreed-upon move in and move out once the tenant rents the property and the landlord won’t have the hassle of having to collect rent. That means fewer issues with squatters and late or unpaid rent. SmartEstate will also handle routine tasks included with property rentals, such as dispatching a maintenance crew to handle cleanup and minor repairs.
For a limited time, SmartEstate is offering a discounted service fee of 2%. Normal fees range from 3% to 15%.