In the old days, ships would use lighthouses to steer clear of the rocks or other hazards. The lighthouse would cast a large beam of light in a big circle that ships could see on dark or foggy nights.
What that lighthouse was really broadcasting was information. Information about hazardous conditions ahead. Not much else.
What if a ‘digital lighthouse’ could broadcast much more information? And what if you could put one of these digital lighthouses on top of a house you are trying to sell or rent? Instead of a ship passing by a traditional lighthouse, a potential buyer could be driving by your property, eager to learn more about it.
Well, now you can. With a technology called ‘iBeacon’.
Send Advertising Straight to Your Buyer’s Phone
iBeacon allows you to put a little device in your house that emits a low-power Bluetooth signal to potentially all cell phones within a 230-foot radius (70 meters). The cell phone picks up the signal, which triggers an app on your phone to provide information about the house automatically.
Think of the possibilities:
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A potential buyer or renter drives by your property and immediately receives all the information you want them to receive right on their phone
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A buyer or renter enters your property and receives a guided tour on their phone about the benefits of each room
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Documents can be easily transferred and signed between parties for a transaction just by being in proximity of the device
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As the technology becomes more popular, apps may come out to alert potential sellers that you buy houses for cash, just by having them drive by your iBeacon ‘lighthouse’
Say goodbye to worrying about all the flyers being gone from your ‘For Sale’ box. iBeacon can provide all the digital data your prospects need to see, just by driving by the device.
How iBeacon Works
iBeacon has a small transmitting device that sends out the iBeacon signal. Depending on the device you purchase, you can place it either indoors or outdoors. The device’s battery can last from several months to more than 2 years depending on weather conditions, temperature and usage.
The iBeacon devices are low-powered transmitters equipped with Blue-Tooth Low Energy (BLE – also called Bluetooth Smart or Bluetooth 4.0) that can be used to deliver messages relevant to something close to the source of the signal. For instance, sports stadiums could use the technology to transmit information relevant to the game going on.
The device transmits signals that allow another device (such as a smartphone) to determine its proximity to the broadcaster. The beacon doesn’t transmit the specific message, it simply transmits a signal that lets a user’s phone or tablet figure out what its proximity is to the beacon.
Apple has trademarked the iBeacon technology and rolled it out with its iOS 7.1 (and beyond) operating systems. There are still some limitations, however. To make iBeacon work on a phone, the phone must:
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Have the relevant app installed that allows location services
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Turn on Bluetooth
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Opt-in to receive notifications
If these conditions are met, the phone will automatically pick up the signal and provide the relevant information. Buyers in a particular area would generally be willing to meet these conditions in order to receive information about houses for sale.
Buyers who have Android phones can have the same capabilities as an Apple iPhone with the rollout of Android’s operating system Android L last year. It means both operating systems can scan for iBeacon in the background without turning the app on and wasting battery power.
People may be hesitant to use iBeacon because they may think they are being tracked. But the technology doesn’t track anyone. It just lets a phone know that it is in a specific location. Then the app on the phone is triggered to pull up the relevant information. Once people realize iBeacon is just a source of information, they will be much more willing to use it.
Costs of iBeacon
All that is needed to use iBeacon is a transmitter and apps for peoples’ phones. Most of the equipment you need is under $50. You can see a selection of various iBeacon hardware and software items at the website for Radius Networks.
As an investor, you may not want to develop your own personal app and try to get it out to all your potential buyers. But as iBeacon becomes more popular, websites like Zillow or one of the other For Sale By Owner sites may adopt it into their apps. Then, if you just list your investment property on their website, you could have iBeacon transmit the information.
iBeacon technology is still in its infant stages, but seems to be growing in popularity. Many real estate agents are eager to adopt this, as would most sellers of real estate. It will be interesting to see how quickly iBeacon could be adopted in the real estate industry.
Whatcha Think?
Do you feel comfortable using emerging technology like this? Tell us what you think in the comments section below.
Stay Current with Technology – Learn about new technologies and think how you can adopt it to your real estate investing.
Differentiate Yourself – What is it about you, your properties or your advertising that is different than your competition? Just competing on price will drive you into the poor house. What can you offer that others don’t?
Test iBeacon – iBeacon is being rolled out in all the Apple stores. Download the app. Then try walking into an Apple store near you to see what you think.
JP Moses
is a real estate investor in Memphis, TN, with experience ranging from land lording to note buying, rehabbing, and wholesaling. However, wholesaling is the area that he enjoys most and where he bring the most experience and expertise to his students.