In 2023, neobanks will account for 20% of the real estate market

Digitization has reached historically more traditional sectors. New financial institutions with a fully digital infrastructure, also known as neobanks, are already a consolidated reality in the Spanish market. Therefore, and after its explosion in Spain in 2019, new protagonists have been emerging in the ‘fintech’ sector, where neobanks are facing a great business opportunity. And it is that, according to data from Unibo, 90% of the financial relationships that happen in the world are linked to traditional banks.

Now it has become even clearer the difference between the first generation of neobanks, with a very horizontal and general approach for an audience with a high command of technology; and a second generation much more specialized in a defined niche and with a verticality focused on solving problems of a specific profile.

Thanks to this verticality and specialization, neobanks can offer very specific financial services for certain sectors, offering them specific functionalities that general banking does not offer. Thus, in addition, they facilitate digitization even in those who still have difficulties to accept the transition to 100% digital work. A clear example is the real estate sector, a sector that still continues to go to banks in person and is reluctant to digitize its daily tasks.

At Unibo they have been the pioneers of digitization in the real estate sector, offering comprehensive solutions and services that allow them to act with agility and efficiency, such as a digital bank made to measure for real estate professionals, totally flexible, transparent and secure.

The growing trend of neobanking in the real estate market will not stop

After several years of consolidation and acceptance, this year it is expected that the growing trend of neobanking in the real estate market will not stop. According to Pedro García, CEO and Co-founder of UniboThere was already a long demand for a financial service specialized in the real estate sector. This second generation of neobanks has allowed any sector, even if historically more traditional, to benefit from tailor-made products and services. By 2023 we estimate that neobanking will reach 20% of the market share of the real estate sector, thanks to the appearance of new neobanks and the increasing acceptance of the public”.

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Neobanking allows the integration of any type of service and product that adds value to communities of owners and small landlords managed by real estate professionals. The technological structure of neobanks makes it possible to offer almost any type of service that this group may need, such as digital payments or financing for homeowners’ associations, a key aspect if one takes into account the current trend with Aid for Housing Rehabilitation and Improvement Works of the Next Generation European Funds.

We have developed an operation that facilitates the daily management of real estate professionals, while their communities save on your fees. But, in addition, we are working to offer sustainable solutions to the communities as soon as possible. Buildings and communities are responsible for 78% of global energy consumption and have a very large environmental impact. That is why it is important to offer solutions to these communities, such as financing channels to facilitate any type of reform”, adds Pedro Garcia.

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