The importance of transparency in the property market
It might seem like a silly question, but the whole industry is built (excuse the pun) on transactions and the information that surrounds them.
Why is transparency important to the property sector?
Having “transparent information” about the market available to those in the profession allows property owners, asset managers, developers, banks & financiers, investors, public authorities, agents and surveyors to make decisions and give advice with confidence that they know and understand where values are.
In the past, there was often an advantage for some operators to keep their cards close to their chests and ensure that information about the market remained restricted and opaque. This is an attitude that persists in some sub-markets and sectors and can still be experienced today but, with the increasing use of technology, it is an outdated approach and forward-thinking businesses understand that sharing data, making it transparent to all, helps the market to function efficiently and profitably.
The role of proptech in making data accessible
Increasingly, databases about property ownership and data regarding transactions are available to everyone and anyone, and such databases are the backbones of many property websites. The explosion of ‘proptech’ businesses (often based around the use and supply of data) will mean that market data and information becomes even more accessible. Those looking to buy, sell and develop properties expect to be able to access such data and want to engage with those who can supply the latest information and analysis of the market at national, regional and local levels.
How transparency enhances market function and profitability
It is for this reason that publicising transactions in the media, on your website and any social media platforms that you use can be beneficial to your business by enhancing your reputation and raising your business’ profile in the market.
At the same time, it also helps to improve market transparency.