Technology “like a fork”. How PropTech shapes real estate innovation

The real estate sector is receiving mix responses throughout the world, with some countries like USA receiving lesser and European and Asia Pacific markets receiving more transactions in recent years. Among the concerning factors, post-purchase regrets by the real estate owners or renters are on the rise, which have never been assessed to date through scholarly research. These regrets can further increase in the time of lockdowns and bans on inspections due to Corona Virus Disease 2019 (COVID-19) and social distancing rules enforced by various countries such as Australia. The current study aims at investigating the key post-purchase regret factors of real estate and property owners and renters over the last decade using published literature and online threads. Based on pertinent literature, 118 systematically identified and text-mined articles, and four online threads with 135 responses, the current study develops system dynamics models to assess and predict the increase in consumers’ regrets over the last decade. Further, a user-generated thread with 23 responses involving seven real estate managers and five agents with more than 20 years of experience, 10 buyers with at least three successful rentals or purchases, and a photographer with more than 10 years of experience, is initiated on five online discussion platforms whereby the respondents are involved in a detailed discussion to highlight the regret reasons specific to real estate purchases based on online information. General architecture for text mining (GATE) software has been utilised to mine the text from both types of threads: Published and user generated. Overall, the articles and threads published over the last decade are studied under two periods: P1 (2010–2014) and P2 (2015–2019) to highlight the post-purchase or rent-related regret reasons. The results show that regret levels of the real estate consumers based on published post-purchase data are at an alarmingly high level of 88%, which compared to 2015, has increased by 18%. Among the major cited reasons, complicated buy–sell process, lack or accuracy of information, housing costs, house size, mortgages, agents, inspections, and emotional decision making are key reasons of regret. Overall, a total of 10% and 8% increases have occurred in the regrets related to the buy–sell process and lack of inspections, respectively. On the other hand, regrets related to agents and housing costs have decreased drastically by 40% mainly due to the good return on investments in the growing markets. However, based on the current trend of over reliance on online information and more powers to the agents controlling online information coupled with lack of physical inspections, the situation can change anytime. Similarly, lack of information, housing size, and mortgage-related regrets have also decreased by 7%, 5%, and 2%, respectively, since 2019. The results are expected to encourage policy level changes for addressing the regrets and uplifting the real estate industry and moving towards a smart and sustainable real estate sector. These results and pertinent discussions may help the real estate decision makers to uplift the current state, move towards a smart real estate, and avoid futuristic regrets, especially in the COVID-hit environment where most of the industries are struggling to survive. Careful attention is required to the top regret factors identified in the study by the real estate managers, investors, and agents to pave the way for a more managed real estate and property sector whereby the consumers are more satisfied with the value they receive for their money. This win–win situation will enhance the property business and remove the stigmas of intentional and deliberate withholding of information by managers and agents from the property and real estate sectors that can help boost the business through more purchases and satisfaction of its customers.

The purpose of this study was to determine and analyze the effect of current ratio (CR) and debt to equity ratio (DER) on price to book value (PBV) with return on equity (ROE) as a mediation variable in Property, Real Estate and Building Construction Sector Companies on the Indonesia Stock Exchange for the Period 2016–2018. This research was conducted on Property, Real Estate and Building Construction Sector Companies listed on the Indonesia Stock Exchange in 2016–2018. This research was conducted on Property, Real Estate and Building Construction Sector Companies listed on the Indonesia Stock Exchange in 2016–2018. The population in this study is the Property, Real Estate and Building Construction Sector Companies that have gone public and are listed on the Indonesia Stock Exchange for the 2016-2018 period, with a total of 81 companies. The research population according to the purposive sampling criteria were 44 companies. Hypothesis testing is done by statistical test t (t-test). Based on the results of hypothesis testing conducted with the SmartPLS tool, CR has significant effect on PBV in Property, Real Estate and Building Construction Sector Companies on the Indonesia Stock Exchange for the Period 2016–2018. DER has an significant effect on PBV in Property, Real Estate and Building Construction Sector Companies on the Indonesia Stock Exchange for the Period 2016–2018. CR has significant effect on ROE in Property, Real Estate and Building Construction Sector Companies on the Indonesia Stock Exchange for the Period 2016–2018. DER has no significant effect on ROE in Property, Real Estate and Building Construction Sector Companies on the Indonesia Stock Exchange for the Period 2016–2018. ROE has significant effect on PBV in Property, Real Estate and Building Construction Sector Companies on the Indonesia Stock Exchange for the Period 2016–2018. ROE has significant effect on mediating the effect of the CR on PBV in Property, Real Estate and Building Construction Sector Companies on the Indonesia Stock Exchange for the Period 2016–2018. ROE has no effect in mediating the effect of the DER on PBV in Property, Real Estate and Building Construction Sector Companies on the Indonesia Stock Exchange for the Period 2016–2018. Keywords: Current Ratio, Debt to Equity Ratio, Price to Book Value, Return on Equity.

International experience points to the critical role of stable property markets in maintaining financial stability. In China, the real estate sector has become increasingly important for the economy, but existing evidence has likely understated its importance as its linkages with other sectors have not been taken into account. This paper attempts to shed some light on these linkages which occur through both real and financial channels. Our analysis based on input-output tables shows that the linkages between the real estate and other sectors have strengthened through real channels, and that the real estate sector has been much more important to the economy’s output than suggested by the share of its value added in total value added. The real estate industry is also closely linked to other sectors through various financial channels, including serving as collateral in credit expansion. We quantify these financial linkages by studying the spill-overs of credit risk across sectors using data of listed firms. In general, we find that corporate credit risk has risen in recent years, and that credit risk in the real estate sector can potentially have large-scale spill-over effects onto other sectors. Consequently, shocks to the property market could have much larger impact on the Chinese economy than suggested by headline figures.

The property and real estate sector in Indonesia has shown an interesting trend over a certain period. Investment realization in the real estate and property sectors before and after Covid-19 has experienced a significant increase from year to year, indicating the increasing interest of investors to invest their capital in this sector. The purpose of the research is to find out and analyze the tasks of financial management, namely investment decisions, financing decisions, dividend policies, and foreign share ownership on the value of the company. The research method used is quantitative research and the population in this study is all Real Estate and Property subsector companies listed on the Indonesia Stock Exchange, this study, conducted sample selection using the purposive sampling method and panel data regression analysis was carried out to analyze the data in this study with EViews 12. The results show that the value of companies in the real estate and property sector in Indonesia is not affected by factors such as stock ownership, and financial management tasks such as investment decisions, financing decisions, and dividend policies. Therefore, it is recommended to adopt a more holistic corporate value strategy with a focus on improving operational performance, cost efficiency, and product innovation. Re-evaluation of financial strategies, improved communication with shareholders, and development of innovative strategies are also necessary to ensure that the company can create added value beyond traditional factors and strengthen its position in the market.

PurposeThe purpose of this paper is to analyze the performance of real estate and construction companies in the United Arab Emirates (UAE) during the pre (2006‐2007) and post (2008‐2009) global financial crisis periods.Design/methodology/approachA ratio analysis was conducted on a sample of six companies in the real estate and construction sector. A nonparametric test, namely the Wilcoxon matched‐pairs signed rank test, was employed to see whether the calculated ratios differ between the pre‐crisis and post‐crisis periods.FindingsThe findings reveal a negative impact of the business cycle on the performance of real estate companies in the UAE. There is a significant fall in the liquidity, profitability, leverage and activity ratios after the financial crisis.Research limitations/implicationsThe limitations of the study revolve around factors such as limited sample size, non‐availability of data for the aforesaid periods, low transparency in revealing some financial details and non‐availability of yearly industry averages.Practical implicationsThe companies in this sector could be obligated to ensure better transparency in revealing financial information to the public. Implementation of stringent regulatory policies in the real estate sector will help the unprecedented downturn in these companies.Originality/valueThis is the first empirical study conducted to examine the impact of the global financial crisis on the performance of the real estate and construction companies in the UAE.

Even though linkages have attracted a lot of research interest, few researchers focus on the intersectoral linkages between two specific sectors. This research therefore proposes an indirect intersectoral linkage measure model to explore linkages between the real estate and construction sectors using the Hypothetical Extraction Method (HEM). Using the OECD input-output tables, the direct, total intersectoral linkages and the proposed indirect intersectoral linkages are explored and tested respectively for seven OECD countries over twenty years. The findings describe that the intersectoral linkages from construction to real estate are larger than those from real estate to construction. The statistical testing results imply that the proposed indirect intersectoral linkage measure method seems to be appropriate to analyse the intersectoral linkage between the construction and real estate sectors.

PurposeThe environmental, social and governance (ESG) agenda has taken on increased importance in the real estate sector in recent years. This paper assesses the increasing importance of biodiversity, nature-related issues and habitat in the ESG agenda for real estate and the impact of the introduction of the Taskforce on Nature-related Financial Disclosures (TNFD) guidelines and several European-based biodiversity initiatives that will shape biodiversity and nature-related risk management in real estate going forward. Strategies being used by the leading real estate players to deliver this important biodiversity and nature-related dimension of ESG are also identified.Design/methodology/approachThis research is based on a thorough understanding of the ESG environment in the real estate industry by the author. Best practice examples regarding biodiversity and nature in ESG and the use of the TNFD guidelines in the real estate sector are provided.FindingsNature-related risk management is increasingly important. Biodiversity and nature-related guidelines such as TNFD are important to capture biodiversity, nature and habitat issues in the ESG agenda in the real estate sector. These biodiversity guidelines will enable real estate players to be explicit in evaluating, addressing and disclosing their nature-related risks to their stakeholders and facilitating the effective delivery of nature-related risk management procedures. Several major real estate players have already given a commitment to delivering these TNFD guidelines and are developing best practice procedures to embed these TNFD guidelines for biodiversity, nature and habitat in their real estate decision-making. These biodiversity guidelines are expected to have an increasing impact in the real estate sector going forward.Practical implicationsESG is a key element in the real estate sector today, with net zero carbon strategies and climate change risk management being key dimensions going forward. This climate-related agenda is now being extended to a nature-related agenda, as the issues of biodiversity, nature and habitat are addressed. Guidelines such as TNFD are an important development that the real estate sector will need to embrace, with several leading real estate players already committing to TNFD in their real estate reporting and decision-making. The development of best practice procedures and suitable metrics for these nature-related guidelines will be key components for the fuller assessment of biodiversity, nature and habitat in the real estate space.Originality/valueThis paper is the first paper to specifically address the need for more focus on incorporating biodiversity and nature in ESG in the real estate industry, highlighted by the use of the TNFD guidelines and European-based biodiversity initiatives. Best practice examples from the real estate industry are assessed. This area of biodiversity, nature and TNFD will be a key issue for ESG in the real estate industry going forward.


 The goal of this observation is to ascertain how profitability, liquidity, leverage, company size, and company age affect how quickly financial reports are produced. This research was done on firms in the real estate and property sector that were listed on the Indonesia Stock Exchange between 2019 and 2021. Purposive sampling was used in the sampling process, which involved selecting 21 companies from a total of 63 research data and doing the sampling in accordance with predetermined standards. Descriptive analysis and logistic regression analysis make up the analytical model. The findings of this study suggest that profitability has an impact on how quickly real estate companies publish their financial data. In the property and real estate sector, liquidity, debt, firm age, and size have little impact on how quickly companies declare their financial results.
 Keywords: profitability, liquidity, leverage, company size, company age and timeliness

The purposes of this study are: to analyze the current ratio (CR), return on assets (ROA), and debt to equity ratio (DER) both partially and simultaneously affect the stock price of companies listed on the Indonesia Stock Exchange (IDX) in the property sector and real estate. This study uses 31 companies to sample the 55 property and real estate sector from 2017-2021. The sampling technique was carried out using the purposive sampling method. The test used in this study was multiple regression analysis with t-test and f-test. The results show that the current ratio (CR) has a negative and insignificant effect on stock prices in property and real estate sector. In contrast, the debt-to-equity ratio (DER) has a positive but insignificant effect on stock prices in property and real estate sectors. At the same time, Return on Assets (ROA) positively affects stock prices in property and real estate companies. The management of the company is expected to observe the behavior of investors in the capital market, namely by understanding the motives of investors so that the administration can develop a company strategy to attract investors to understand their capital in the company.

Financial leasing, which is widely used in medium-term financing of investments in many countries, provides great advantages in meeting the increasing demands of the working capital of organizations. Financial leasing, which is a unique transaction that consists of the combination of three different transactions such as medium-term investment loan, lease, instalment sales, and which have a different quality, is a financing method that is very close to medium-term loan adopted in Turkey. Financial leasing, whose legal infrastructure was first established and backed by the Financial Leasing Law No. 3226 of 1985, was put into its application within the scope of the financial leasing, factoring, and financing companies under Law No. 6361 in 2012. To meet the housing demands, within the scope of Law No. 5582 on the Housing Finance System, consumers are provided with the opportunity to provide long-term funds through financial leasing. In addition, apart from being a means of financing in real estate projects by participation banks and financial leasing companies, it is also used as a sales method in housing finance as a real estate acquisition method. The real estate sector in Turkey greatly contributes to the economy as a hub of employment and stimulates the growth of several sectors, so the consideration of financing of real estate is essential. In the period of 2010-2020 in Turkey, the share of financial leasing transactions in total building investments were decreased by 1% at the end of 2020. The share of financial leasing transaction volume in total fixed investments was around 2% at the end of 2020. In the period examined, the share of construction, real estate brokerage, leasing and operating activities and consumer housing finance in the gross transaction volume of financial leasing was around 20-30% in the period before 2018 but fell below 20% in 2019 and 2020. In the field of financial leasing, especially the sell and lease method, it attracts attention as an Islamic financing model in the financing of commercial real estate investments and housing acquisition. In this study, analysis of the applications of the financial leasing in the real estate sector in Turkey was analysed in aspects of legal, economic, and technical, and the identification of problems, the solution was put forward. Through various data published by financial leasing companies and participation banks and application examples, the conditions of success in the real estate sector were examined by taking into account the development process according to the periods, although it provides various advantages, the main reasons for the lack of widespread and weak development of financial leasing transactions in Turkey were determined. Literature review and regulatory analysis were conducted in the study and the current implementation of the financial leasing method in the real estate sector and its impact on the development of the real estate sector were examined. Based upon the results of the interviews and surveys conducted with the managers and experts of financial leasing companies and the beneficiaries of this vehicle, economic analysis of the use of financial leasing in real estate development and real estate investments, basic application problems and opportunities for the development of financing of financial leasing and real estate investments were evaluated. It is noteworthy that financial leasing companies and participation banks have an important role in the current practice and the employment of real estate development and real estate investments and financing experts in both enterprises is mandatory to increase the success of the implementation of the model.

Real estate transactions have been one of the most shadowed sectors of the national economy. The COVID-19 pandemic and the quarantine measures introduced in 2020 to prevent its spreading have led to a sharp increase in the shadowing of the real estate sector, thus reversing the positive trend of the previous years. The study aims at finding ways to de-shadow the real estate sector and substantiating them. Changes in the level of shadowing relations in the real estate sector in 2020 are analyzed. It is found out that the quarantine restrictions introduced in 2020 had though short-term but major negative impact on activities in the real estate market, thus increasing the shadowing of the real estate transactions sector. Emphasis is placed on letting residential real estate as one of the most shadowed segments of the real estate sector. Gaps in the de-shadowing measures in the real estate sector in recent years are highlighted and critically assessed, in particular: Bill № 3618 “On Real Estate Activities in Ukraine”; Bill № 3928-1 "On Amendments to the Tax Code of Ukraine with a view to stimulate the de-shadowing of income received from letting residential real estate"; introduction of a Multiple Listing Service based on real estate appraisal reports; activities of tax authorities in the field of identifying shadow transactions in the rental market. To minimize the level of shadowing the real estate sector, it is suggested to: conduct public awareness campaign as for the benefits of conducting legal activities in the rental market, e.g., protection of the rights of tenants and landlords in the field of real estate transactions; to amend the Tax Code of Ukraine regarding the taxation of income received from letting residential real estate; create a "Legal Lease" online portal, etc.

The economic slowdown due to the pandemic has negatively affected various sectors in Indonesia, including the real estate sector. Meanwhile, Java Island is still the center of the economy in Indonesia. This contrasts the conditions of regions outside Java, which are still experiencing development gaps. Despite being a minor contributor to GDP, areas outside Java, such as Maluku and Papua, have experienced rapid economic growth. This proves that, outside Java, there is still significant potential for growth and investment, although it is inevitable that it will face unique challenges and obstacles in the future. Some of the factors that cause this to happen are the lack of supporting infrastructure such as roads, limited skilled human resources, and connectivity and transportation mobilization in the area. Excellent and appropriate connectivity and mobilization are needed to support economic growth in an area. One option for mobilization tools for archipelagic countries like Indonesia is sea transportation. In meeting the needs of the property and real estate sector, sea transportation is one of the options of choice. Excellent and proper connectivity and mobilization can be a factor that supports economic growth as well as the real estate sector outside Java. In the real estate sector, maritime transportation is essential in the timely distribution of quality building materials and construction equipment to development sites. There is undoubtedly a link between marine transportation and property/real estate in Indonesia. The research method used in this study is a significant correlation analysis, namely Pearson Product Moment, to determine the relationship between two variables, namely Domestic Sea Transportation and Real Estate Sector GRDP. The results of the correlation data test in this study show that the Domestic Sea Transportation variable is positively correlated with the Real Estate GRDP variable. Indicated by the correlation coefficient value for each sea transportation variable of domestic ship visits (units) = 0.331, domestic ship visits (GT) = 0.504, the flow of Non-Crate and Container goods (unloading) = 0.251, the flow of Non-Crate and Container goods (loading) = 0.447. It can be interpreted that there is a positive relationship between the four sea transportation variables and Real Estate GRDP.

Introduction: The digital era has ushered in transformative changes across industries, with the real estate sector being a pivotal focus. In Guangdong Province, China, real estate enterprises are at the forefront of this digital revolution, navigating the complexities of technological integration and market adaptation. This study delves into the intricacies of digital transformation and its profound implications for the financial performance of these enterprises. The rapid evolution of digital technologies necessitates examining how such advancements redefine operational strategies and financial outcomes within the real estate landscape. The inclusion of government support as a variable in our study is deliberate and stems from its profound influence on shaping the digital landscape. Government policies and initiatives provide a regulatory framework and offer strategic direction and financial incentives that catalyze digital adoption and integration within the real estate sector. By examining the moderating effect of government support, this study aims to uncover the nuanced interplay between policy-driven environments and the financial performance of enterprises undergoing digital transformation. This exploration is essential to understanding the broader implications of public policy on private-sector innovation and growth. Objectives: The primary objective of this research is to evaluate the impact of digital transformation on the financial performance of Guangdong’s real estate enterprises, with a specific focus on return on equity (ROE) and return on assets (ROA). Additionally, this study aims to scrutinize the role of government support as a potential moderator in the relationship between digital transformation and financial success. The research seeks to provide actionable insights for policymakers and industry players by understanding these dynamics. The digital transformation of Guangdong’s real estate sector presents a complex landscape of challenges and opportunities that shape the industry’s evolution. On one hand, the integration of innovative digital technologies into established operational frameworks poses significant challenges. These include the need for substantial investment in new infrastructure, the imperative for a cultural shift towards digital literacy across the workforce, and the continuous demand for upskilling to remain agile in an increasingly digital market. On the other hand, digital transformation affords manifold opportunities. For instance, enhanced operational efficiencies through automation and data analytics offer substantial benefits in terms of cost savings and process optimization. Furthermore, leveraging data-driven insights enables more informed strategic decision-making, which is critical in a competitive real estate market. The capacity to innovate service offerings by tapping into digital platforms and customer relationship management systems also presents a significant opportunity for real estate enterprises to differentiate themselves and capture new market segments. Methods: This study explores the digital transformation of real estate firms in Guangdong, highlighting government support as a critical moderator. Findings show that digital initiatives improve company performance, with government backing amplifying these benefits. Regional disparities in support suggest a need for tailored strategies, indicating the importance of policy in driving digital adoption and innovation in the sector. The study advises firms to leverage local policies and policymakers to address regional imbalances for equitable digital transformation. This study uses a sample of 28 real estate enterprises in Guangdong Province from 2012 to 2022. Panel data analysis with a fixed effects model tests the hypotheses. The study also conducts robustness checks by replacing the key variables. Results: The findings indicate that digital transformation positively impacts the financial performance of real estate firms, as gauged by return on equity (ROE) and return on assets (ROA), albeit marginally. The study also reveals that the relationship between enterprise performance and digital transformation is moderated by government assistance, indicating that solid government backing might amplify the benefits of digital transformation for company success. Conclusion: The present research offers empirical data about the correlation between the financial performance of real estate firms in Guangdong Province, China, and digital transformation. The discussion of these challenges and opportunities is contextualized within the broader economic and technological context of Guangdong Province, reflecting the unique interplay between regional development strategies and the global trend toward digitalization. This nuanced understanding is essential for appreciating the complexities inherent in the digital transformation journey of real estate enterprises. It sets the stage for the relevance and application of our proposed model. The findings suggest that real estate enterprises should consider factors like business size, cash flow, and debt ratios when undergoing digital transformation. Policymakers and industry regulators should also focus on providing appropriate support and guidance to facilitate the long-term development of the real estate industry in the digital era.

The existence of capital market in Indonesia can be seen from the number of investors who invest their shares in property and real estate sectors. From the perspective of the macro economy, the property sector has a very broad scope of business so that the stimulation of business property in turn will affect the economic growth and work opportunities. Property also be an important indicator of economic health of a country. In this research, are considered internal factors that affect stock prices and the real estate property sector is to look at financial ratios such as the ratio of Return On Equity (ROE) dan Earning Per Share (EPS) while external factors were used in this study is variable exchange rate and BI Rate This study uses 8 company property and real estate sector with the best issuer ratings, with a study period of years 2010-2014 (annual period). The technique analysis panel regression. The results of this research is the Return On Equity (ROE) have a a significant negative effect on stock prices and the real estate property sector, Earning Per Share (EPS) have a a significant positive effect on stock prices and the real estate property sector, exchange rate have a not significant positive effect on stock prices and the real estate property sector, BI Rate have a a not significant negative effect on stock prices and the real estate property sector.

Based on data from the Indonesia Stock Exchange (IDX), the real estate and property sector recorded the highest number of cases where companies failed to submit audited financial statements during the 2020-2021 period. Therefore, this study aims to identify the factors that influence audit delays in real estate and property companies in Indonesia. The study utilizes agency theory as the theoretical framework. A quantitative approach was employed, using secondary data. The research population consists of real estate and property companies listed on the IDX, with 69 companies selected as the sample through purposive sampling. The independent variables include audit opinion, size of the Public Accounting Firm (KAP), audit tenure, and auditor turnover, while the dependent variable is audit delay, with company size as the control variable. Multiple linear regression was used as the analysis method in this study. The findings indicate that audit opinion affects audit delay, whereas the size of the Public Accounting Firm (KAP), audit tenure, and auditor turnover have no significant impact. Companies are encouraged to be more vigilant regarding factors that could lead to longer audit delays, including avoiding material misstatements in financial reports that could affect the audit opinion received