Droughts and bushfires across the country and a month’s worth of rain in Brisbane in a matter of minutes are examples of natural events that could drive more significant investment in property risk management.
A property’s hazard profile will become just as significant as its physical attributes, CoreLogic CEO Lisa Claes said.
This comment was included in her predictions for 2020, and she believes climate events can have an impact on real estate, and that comes with natural events which can be devastating.
“There will be greater demand from our customers for seamless delivery of relevant data relating to property risks in the same way they leverage property values, ownership and construction data,” Ms Claes said.
As a result, she believes 2020 will see further changes in the real estate industry’s operating environment with the rise of desegmentation.
“Previously separate market segments will join forces as listing portals become brokers, banks show the same interest in listings as real estate agents do, and insurers and lenders collaborate to apply a more forensic lens to the property risk profile,” she said.
In conjunction, new technology such as artificial intelligence will lower traditional barriers to enter the market, while boosting competition, Ms Claes predicted.
“In step with this trend, CoreLogic will continue to add value by offering data analytics solutions that can integrate seamlessly within our customers’ environments in order to give them the competitive edge in their markets. In spite of the many headwinds, 2020 presents opportunities for all industry players to deliver enhanced customer value over the coming year, and that’s an exciting prospect indeed.”