Assess real estate database

requirements

Contents
Overview
Introduction to Evansdale Realty
Why use databases?
6 great reasons to use databases
What is a database?
Relational databases
Spreadsheets
General purpose database software
Simple desktop systems
Database servers
Software for the real estate office
Products
Capabilities of real estate software
Features
Real estate data products
Check your learning
Summary

Assess real estate database requirements

NSW DET 2008

Assess real estate database requirements

NSW DET 2008

Overview

Since the first databases were introduced into the real estate industry, their
use has evolved to the point where most offices could not function without
them.
Specialist software has been written to meet the requirements of all aspects
of real estate operations. The explosive growth of the Internet has created
new opportunities for agents to perform their work more efficiently and to
expand their business.
This topic describes database systems and how databases are used in a real
estate environment to perform work functions. We will look at the various
software applications in common use.
In this topic youll learn to:

describe what a database system is, and the types of database

systems available

explain how databases are used in real estate

list the typical features of real estate databases

describe the advantages of database systems in real estate

describe the information requirements of the real estate industry

access a local or online database system

Assess real estate database requirements

NSW DET 2008

Introduction to Evansdale Realty

Throughout this topic youll see comments from the staff at the fictional real
estate agency, Evansdale Realty.
Evansdale Realty has been operating in Evansdale, Belmore Heights and
surrounding areas, and as far out as Brunswick Park, for over 15 years. It
specialises in commercial and residential sales and leasing.
Sarah Hampden, Manager
Sarah is the licensee-in-charge and manager of Evansdale Realty. As
licensee, she oversees all aspects of the business: sales, property
management, trust accounting and strata management. She manages
all aspects of staffing, including induction and training.
Vince Berger, Sales Manager
Vince is responsible for the day-to-day management of the sales
team: listing, advertising, open house and other inspections for both
commercial and residential properties.

Adrian Carrasco, Sales Consultant

Adrian works on the sales team and helps Vince with all aspects of
the sales process, both in the office and on the road.

Jackie Mansour, Reception/Sales Support

Jackie wears two hats in Evansdale Realty shes the receptionist
and also supports the sales team. Shes in charge of all office
procedures and helps with the advertising, listings and photo
displays.
Ellen Chu, Property Manager
Ellen manages Evansdale Realtys rental property division. Shes
responsible for tracking down, inspecting, listing and letting
properties and collecting rent on behalf of the owners. She has
responsibility for tenant selection and sign-up for all tenancy
agreements as well as for the financial aspects of leasing.
Dave Mathews, Assistant Property Manager
Dave helps Ellen in all aspects of her work by keeping the internal
property management systems running smoothly. Hes also involved
in advertising properties for lease and organising repairs and
maintenance.

Assess real estate database requirements

NSW DET 2008

Why use databases?

Data is a valuable commodity in real estate. Details of properties for sale or

rent, and information about contacts such as owners, tenants or prospective
purchasers are the stock in trade of estate agents. This data is one of the
most valuable assets of any real estate business.
In the past, data was managed by using notebooks, scrapbooks and filing
cabinets full of documents. But when the amount of data to be managed
exceeds a few hundred items, it becomes unwieldy to manage it using a
paper-based system.
While paper documents still have their place, computer databases can
increase the value of data. For example, data can be instantly searched,
analysed and presented in different ways, exchanged between systems,
reported to clients or managers, and communicated in effective ways.

6 great reasons to use databases

Below we expand on some of the reasons why real estate agents find
database software useful.

Reason #1: Increased productivity

Computer software applications can automate or simplify a variety of
repetitive tasks in the real estate office, from completing real estate forms,
through receipts, window cards and reports to doing an end-of-month
rollover of the rent roll. Computer databases can quickly store, search, and
sort huge amounts of data, and maintain complex relationships within that
data.

Examples
When a receipt is entered into a computer database the system can update
the cash book, carry out daily banking, process journals and update the
ledger account, thus reducing the manual work.
The end of month rollover procedure balances all accounts, and prints
cheques and statements for the owners in a few simple steps. A property

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NSW DET 2008

manager can attend to other tasks while overseeing the end of month
procedure, with only brief inputs required along the way.
At the end of the month, every account has to be balanced and we
must produce reports for the each owner and tenant.
I can remember the time before we had good databases on personal
computers. The end of month rollover in the property department
took us a couple of days , and we needed more staff.

Ellen Chu,
Property Manager,
Evansdale Realty

These days most of the leg-work is done by the computer, and the
rollovers can be completed in a few hours.

Reason #2: Improved customer service

Databases allow agents to store and maintain detailed information on
clients, properties and prospects. The information relevant to any particular
question can be quickly found and analysed in a variety of ways to help
agents do their job better.
These systems can present or communicate the information in a range of
formats, including printed reports, mass mail-outs, email, SMS messaging
and electronic file formats such as Adobe PDF.
Agents also have access to larger online databases from commercial data
providers such as RP Data or Red Square. These databases can be used to
carry out market analyses.

Example 1
Lets say your agency is managing several rental properties for the owner
Mr Jones. He calls wanting to know whether the arrears have been paid. You
cant recall the details, but you can find Mr Jones in the database, select the
property in question and call up the account details. You can advise Mr
Jones immediately, and perhaps send off a report via email or SMS. This
quick response and high level of service makes the agency look good to Mr
Jones, and increases the chances that you will retain him as a client.

Example 2
Agents are now able to produce marketing material such as open house lists,
property brochures and direct mailing material in-house that previously
were sent away to printers or not produced at all. This has allowed them to
be more responsive to eventsfor example, being able to list a property
today and have an acceptable quality colour brochure available to give to
purchasers tomorrow.

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Example 3
You have a property listed which adjoins some empty land at the back. A
prospective purchaser wants to know if the land is a national park. Your online property information service lets you call up a map of the land and
check the ownership of the adjoining properties.
In real estate, more than most professions, we succeed or fail by
our standards of service. Database technology makes it easy to
keep in touch with clients and meet the clients individual needs.

Sarah Hampden,
Manager,
Evansdale Realty

Modern technology in general gives us an expanded view of the

world with greater access to a rich array of information, whether it
be digital photographs and video, satellite imagery, GPS data or the
analysis of historical data. We strive to utilise this information to
give the best advice, and leave a lasting impression on our clients.
Technology is raising the bar of customer expectations every year
but its an exciting ride!

Reason #3: Improved connectivity

A major trend in computer equipment is that of increasing integration and
connectivity. More and more, computer manufacturers use the same
international standards for their hardware and software, allowing different
devices to exchange information.
The ability to connect computers via the Internet allows agents to
communicate more effectively with fellow staff, clients and prospects.
Portable devices such as laptop computers, tablet computers, PDAs, and
mobile phones allow staff in the field to take their diary and files with them,
make changes and additions while away from the office and then
synchronise changes when they return. With additional software, portable
devices can also be used for specific tasks like property inspections.
The current trend is to have all information stored in online databases rather
than on an office computer. This allows access to the data from anywhere
and at any time, and is more secure than a stand-alone computer which is
vulnerable to equipment failure, fire, theft and inadequate backup
procedures.

Reason #4: Improved management data

Database software can be used to perform summary and statistical analyses
which may be used as an indicator of agency performance. The data for
sales may include new listings, time on market, clearance rates, the results
of customer satisfaction surveys and so on. This data might be compared
with similar data from competitors to give a performance appraisal of
agency operations or individual salespeople.

Assess real estate database requirements

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Reason #5: Greater marketing effectiveness

Modern databases and associated software can help agents to market their
properties more effectively. The specific requirements of potential buyers is
recorded and stored in the database. This personal information is used to
target the marketing more accurately, for example informing customers only
about properties they are likely to be interested in. When coupled with
efficient communications methods such as mail merge and email, real estate
agents can design very effective marketing campaigns.
A mail-merge is where a similar letter or email can be sent to many clients
simultaneously. The database application inserts the specific customer
information for each letter, producing a document personalised to each
client. This enables agents to develop personalised direct marketing
campaigns to prospective clients as well as existing vendors, landlords,
prospects and tenants. The completed letter could be sent by post, or by
email.
With email, you can send information regarding the latest properties for sale
or rent to prospective purchasers or tenants. This information will be filtered
to reflect the clients requirements. With email, the big advantage is
efficiency and speed. Customers could receive daily updates if they want,
although weekly updates would be more usual.

Reason #6: Conforming to Regulations

The Property, Stock and Business Agents Act 2002 (NSW) and the
corresponding Regulation (2003), impose requirements for trust accounting,
record keeping and reporting procedures. Some of these requirements are
easily met if the agent uses a database designed for that purpose.
In particular Part 4 of the Regulation dealing with trust accounting, and Part
5 dealing with record keeping stipulate the information that must be
recorded and included in reports.

Example
Below is an excerpt from section 25 of the Regulation:
(3) The following particulars must be shown on a receipt:
(a) the date of issue,
(b) the number of the receipt in numerical sequence,
(c) the name of the licensee and the words Trust Account,
(d) the name of the person from whom the payment was received,
(e) the name and ledger reference number of the person on whose behalf the
payment was made,

Assess real estate database requirements

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(f) particulars sufficient to identify the transaction in respect of which the

money was paid,
(g) the amount of money received and whether (or the extent to which) it was
paid in cash or by cheque, by electronic funds transfer or otherwise.

If the agent is using a modern trust accounting system designed for use by
real estate agents in New South Wales, the system would ensure that each of
these data items appeared on the receipt.

A big responsibility of the property manager is the management of

trust accounts. The Regulations require that transactions on trust
accounts are carried out in a particular way, so that the accounts
can be scrupulously audited.

Dave Mathews,
Assistant Property
Manager

The features of the current crop of property management databases

ensure that you automatically conform to many of the regulations,
just by using the correct software. Beware, however, that you must
get the correct software for your State and configure it correctly.
In the end, the responsibility still lies with the agent, but with the
right software you will certainly have a head start.

The downside of databases

For all these advantages, there are some problems to be aware of when
using databases.

A good database does not equal a good business

Dont forget that databases are just a tool. People can become obsessed with
perfecting their database, and neglect the many other important aspects of
the business.

Ineffective use of time

Salespeople particularly are busy most of the day with clients, and their time
is scarce and valuable to the agency. These people may not be the best
choice for doing data entry, because of the high cost, and because they are
unlikely to be as accurate as dedicated clerical staff.

Assess real estate database requirements

NSW DET 2008

What is a database?

A computer database, or more correctly a database management system is

a software application that can store large amounts of information in a
highly structured way. Databases are one of the most extensively used
computer technologies. Whenever you make a withdrawal from a bank,
reserve a seat on an aircraft or take out a book from your college or school
library, a database is being used.
There are several types of database technologies, but by far the most
common and important is the relational database. The vast majority of
computer data in the world is stored in relational databases.

Relational databases
In a relational database, all of the information is held in structures called
tables. (These tables are technically known as relations and this is what
gives the relational database its name).
For example lets say you need to store data on all the properties your
agency has for sale or for rent. You might start with something like the table
below.
Properties
Key

Suburb

Address

Price

Bedrooms

Newtown

21 Cross Street

419000

Rose Bay

33 Trial Street

723450

Cardiff

12 Gimp Road

501004

Brennans Pt

56 Ship Drive

450000

Figure 1: Example of content stored in database table

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Fields and records

Lets look more closely at the structure of database tables.

Each table has a name. In this case the name is Properties.

The columns of the table are known as fields. For example the fields
of the properties table are called Key, Address, Suburb, Price
and Bedrooms.

The set of related data fields in one row of the table are known as a
record. For example the first record of the Property table is the set
{1, Newtown, 21 Cross Street, 419000, 2}. This table has four
records.

So in summary, each table contains a number of records, and each record is

made up of fields that are individual pieces of information. You will learn
more about the structure of databases in later sections.

Primary key
Each table must have a primary key. The primary key is simply a way to
uniquely identify each record. In other words, no two records can have the
same primary key. Often the primary key is just a number that is
incremented for every new record added to the table (an autoincrement
field). This guarantees that it will be different for every record. The Key
field in the properties table above is the primary key.

Queries
The main use of databases is to store information so that is can be efficiently
retrieved in different ways. A query is the name given to a database search.
Queries may be restricted to one table, for example (in English).
Get all addresses from the property table where price is greater than or
equal to 500000 dollars.
Complex queries may extend over many tables.

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Spreadsheets
Some of the early databases for personal computers consisted of individual
tables that were used in isolation. The tables could not be combined in the
ways that are typical of relational databases. This type of simple database is
sometimes called a flat-file database.
Flat-file databases are not much used these days, but most of the features of
a flat-file database can be found in modern spreadsheet software such as
Microsoft Excel or Open Office Calc. The data is simply entered in the
spreadsheet rows and columns, and can be sorted and searched. The screen
shot below is from Microsoft Excel, where the user is sorting a table of
properties by price.

Figure 2: Using a spreadsheet as a simple database

Spreadsheets can be effective for small data sets, and where you only want
to use one data table at a time. They may help in the storage of data where
some records are kept manually and some electronically. The spreadsheet
can be used for commonly used information such as ownership details, and
could contain a reference for the paper-based filing system.
But spreadsheets are not true databases. They are optimised for doing
business calculations rather than storing large amounts of data. They do not
provide features such as relating many tables, forms to ease data entry,
customised reports, protection of data integrity and so on.

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General purpose database software

Here we will attempt to give a rough overview of the different types of

software that can be used to build database applications. The commonly
available database systems can be classified as shown in the diagram below
Database
systems

Database
Servers

Simple
Desktop
systems

Online/web
databases

Figure 3: Classes of database systems

Simple desktop systems

There are products available for desktop use that combine a friendly
development environment with a database engine. Examples include
Microsoft Access or Open Office Base. These applications typically come
bundled with office suites such as MS Office or Open Office, which include
a word processor, spreadsheet, presentation and database applications. Your
teacher may be using this type of software to demonstrate the concepts in
this unit.
You can build quite sophisticated databases with these applications, but
generally speaking they are for building relatively small databases that will
be used by perhaps a few people.
The advantages of these databases is that they are relatively inexpensive,
easy to learn, and quick to design and build a database with. All the required
features for designing and editing tables, queries, reports and data entry
forms are included, and often no programming is required.

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Database servers
Commercial-quality database systems can store essentially unlimited
quantities of data, and are technically advanced in transaction processing,
security, speed and scalability. Examples include offerings from companies
such as Oracle, Sybase or Microsoft. There are also free, open-source
alternatives such as MySQL or PostGreSQL.
This high-powered commercial software is realised as a type of program
called a server. Servers are like specialists that are designed to do only one
type of job, but do it very well. A server receives requests from other
programs (known as clients) asking it to carry out some task (eg to search
for a particular term in the database). The server does the task, and returns
the results.
One server program can handle requests from many different programs, so a
server is normally set up centrally on a computer network, and requests are
sent and received over the network. Servers are usually installed on fast
computer equipment which has been tuned specifically to host the server
software. (For this reason, these computers are often also called servers).
The diagram below shows an example of this client-server architecture.
Client application 1 is running on a users computer (it could belong to a
salesperson in the real estate agency). The user requests something to be
done, such as searching for the name Smith. The server program does the
search, and sends back the records requested.
Server computer
Database Server program

Request
Response

Client
Application 1

Client
Application 2

Client computer 1

Client computer 2

Figure 4: Database server responding to requests

At the same time, a second user on a different computer could be doing a

different operation, and the server will rapidly deal with both requests, so
that each user

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Advantages of client-server architecture

Separating a database application into client-server has many advantages:

It improves performance, because the server hardware and software

can be optimised to suit.

It ensures that everyone will see the latest version of the data, because
all requests to change the data have to pass through the same server.

It improves security, because servers are usually administered by IT

professionals who ensure that adequate security measures are used,
including password protection, encryption, regular backups and so on.

It helps avoid loss of important data, because the database will be

backed up regularly by the administrators.

It simplifies upgrades, because the most complex software is only in

one place on the server computer.

Building applications using database servers

Almost anyone can throw together a simple database application using tools
such as Microsoft Access, but database servers are used mostly by
professionals, so they dont usually come with such friendly design tools.
Typically a database server will be programmed directly using the database
language called SQL (Structured Query Language), and more programming
is required to build the user interface including the data entry screens.

Multi-tiered applications
Once we have taken the step of removing the database from the users
computer, its very common to go further and centralise more of the
application into a server. These designs are known as multi tiered.
The three layer design shown below is often used, where:

The user interface consists of the screens that allow the user to enter
data, make requests, view reports and so on. Its really just the
outside face or shell of the application that the user interacts with. So
now the part running on the users computer is very simple.

The business logic is the particular actions related to the specific

application itself. For example in a property management
application, an example of business logic is that if tenant is late with
their rent, they need to be sent a reminder.

The general purpose database server as described previously.

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Local (client) computer

(the users machine)

User
Interface

Server computer
Business
logic

Server computer
Database
server

Figure 5: Multi-tiered application

Web database applications

So far, what we have described above has related to computers on a local
area network at one physical site, for example within a real estate office.
Nowadays many companies are choosing to make their product available for
use on the World Wide Web, rather than as a stand-alone or as a local serverbased product.
Look again at the diagram above. There is very little software required on
the users machine just the user interface. From here its a (relatively)
short step to allow the database application to work on the web. The user
interface layer can be designed to run in a Web browser such as Internet
Explorer or Firefox, and the remainder of the application can be placed on a
server that can be accessed at a particular web address such as
http://rpdata.com.au .
When this is done, the user can use the software without requiring anything
to be installed on their local computer. They just need a password to access
the software. Note that the server will now be remote from the location of
the user, and might even be in another country.

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Web applications can have even more advantages than the server based
applications. The advantages of client-server architecture are retained here,
because the design is essentially identical in this respect.
Usually, web applications like real estate databases are sold as a service by
companies that specialise in the field. Therefore the client company gets a
turnkey system which is ready to use, and does not dont need to worry
about backup or data integrity all this is done by the company hosting the
web site.
One drawback of pure web applications is that there is a single point of
failure. If the Internet connection fails or the website goes down, then the
customer may be left without service.

Our office computers are linked on a small network and the

database is available from every workstation. This means that I can
see the schedules of the sales staff and know when they will be
available.

Jackie Mansour,
Reception/Sales
Support

Assess real estate database requirements

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Sometimes when its busy, Im the only one in the office but I can
still answer some questions just by consulting the database. We also
have a kiosk that allows the client to search and view the current
listings.
We also consult online databases to find, for example, comparative
market analyses and sales histories.

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Software for the real estate office

A real estate agent could conceivably design and develop their own database
system using the generic database applications, but this would be very
unusual. Agents have neither the time nor the inclination to develop a
system from scratch. Instead they will purchase software that has been
specifically tailored to the needs of the real estate industry.
In this section we will look at some of the products available, and the
features that real estate agents require in their database systems.

Products
Several companies specialise in software for the real estate office. Some of
the available products in this field include:

Rockends REST Professional

RP Datas Macpro Office Manager

Consoles Gateway

The products are designed to support the tasks that agents perform every
day, and they will assist the agent in meeting the legislative requirements in
their State.
Beware that the legislation regarding trust accounts is different for
each state. Before buying software for a real estate business, check
with the provider that their software conforms to the regulations in
your particular State.
Note also that software from the U.S. or other countries will not
meet the legislative requirements for Australian States.
Dave Mathews,
Assistant Property
Manager

Usually the software has separate modules for different functions, and the
agent purchases a licence to cover the specific functions required. These
systems can typically support property residential sales, residential property
management and tenant management. There may also be modules available
to support strata management, commercial sales and commercial property
management.

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Note that although these products have been made more friendly and
intelligent by additional layers of software, they will each contain a general
purpose database system at their core.
It is unusual these days to find a stand-alone desktop application for the real
estate office. This is because many of the advantages of these systems derive
from sharing data, or combining the data entered by the various users. Most
of the products will use a central database server, plus client software
running on the users computers. Some products such as Console Gateway
are web-based, with an offsite database.

Capabilities of real estate software

Below we summarise the types of tasks performed by the two most common
applications: residential property management and sales management
software.

Property management software

Property management software allows the agent to better manage their rent
roll and business as a whole. This software will for example:

Keep track of important dates such as rent due dates, lease expiry,
inspection dates, and generate daily appointment and tasks lists.

Manage the trust accounting aspects of rent collection and landlord

payments, so as to conform with State legislation.

Help the agent to input, store and manage property inspection data.

Carry out an end of month rollover.

Generate mail-merged letters, emails or SMS messages to the tenant,

for example advising of maintenance appointments, inspections and
overdue rent.

Assist in the management and documentation of maintenance

activities for each property.

Investment analysis reporting, similar to spreadsheets, allows the

property manager to review an individual propertys performance
and advise owners accordingly.

Property sales software

Property sales software is used to track market appraisals, listings and sales
and other properties in an agents service area generally. This software will
also integrate with trust accounting software, because (for example) the

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sales agent holds deposits in trust from the purchaser. This software will
typically:

Keep track of properties whether appraisals, currently for sale, or

previously known to the agency.

Assist in helping the agent recommend a realistic sale price for the
property to the vendor, by listing comparable properties in the same
area.

Assist with advertising by printing brochures and window cards.

Store photographs or video describing the property.

Keep notes about the progress of a sale, and record interested people
and offers.

Record potential buyers and their requirements, and match suitable

properties to these requirements

Keep in contact with potential buyers using email or text messaging,

alerting them about new properties matching their requirements.

Upload current properties for sale to advertising websites.

Alert the agent to critical dates during the sale of a property, such as
cooling off period, date of contract exchange and settlement.

Manage the trust accounting aspects such as keeping track of deposit

moneys, in a way that conforms to the State legislation.

Assist with marketing by printing window cards, listing sheets and

brochures, or uploading property details to an advertising website.

One strategy used by agents is to add properties to the database as the agent
comes into contact with the property through a market appraisal or other
contact with the owner. Other agents will add every property in their service
area into the database and maintain up to date information on all listing and
sale activity.

Features
Now we will look at the typical features of this class of software. The details
of each package will vary, but typically will include the features listed
below. Note that we list the aspects here separately for the purposes of
explanation, but the best software will integrate these aspects into a
seamless product which closely fits the way agents do their work.

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Contacts management
The agent needs to keep track of information about many people including
vendors and purchasers in a sales context, and owners and tenants in a
property management context.
Of course, the contacts will belong to a certain categories, such as owners,
prospective buyers, tenants and so on. Some systems allow you to refine the
categories, so that you might have subcategories for prospective buyers of
active, casual and inactive.

Trust accounting
As we mentioned, trust accounting software keeps track of the funds that are
held in trust by the real estate agent, for example the deposit from the sale of
a house, or rent monies. This software is often quite complex and usually
includes other features for rental or sales management in addition to the
purely accounting function. Trust accounting software assists the agent in
complying with the legislation regarding trust accounts, such as the relevant
sections of the Property, Stock and Business Agents Act 2002 (NSW).
Often the trust accounting software can interface with electronic banking
systems, used for example to transfer funds into landlords accounts or to
debit tenants accounts.

Managing property data

Not surprisingly, real estate agents need to store information about
properties. This includes the features of properties for sale, and also
inspection details for rental properties.
The modern real estate database application can also exchange information
with online databases, either to download data for properties such as sales
history, mapping data and photographs, or to upload this data to an
advertising site.

Searching and sorting

The main strength of database systems is in their ability to store data so it
can be recalled efficiently and searched in different ways. Some examples of
how this is valuable in real estate include:

Properties can be matched to the desires of prospective purchasers,

so they can be informed of the latest listings that meet their
requirements

A continually updated list of vacant properties can be displayed for

ready reference throughout the day.

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Historical sales data can be analysed to give trend data that may
inform the agent about the market conditions.

Sales prices for properties of similar value can be consulted to better

inform the agent, the vendor and prospective purchaser.

Reporting
A variety of reports can be printed, which may include:

window cards and listing sheets

cheques and statements

analysis reports such as profitability analysis for rental properties

summary reports such as all rental accounts in arrears

mail-merged form letters to clients and tenants

management reports that help to gauge the health of the business

such as gained and lost managements, properties sold within a
period, average time to sell and so on.

Security features
All systems of this type will require a user name and password for the user
to log in and access the system. This prevents unauthorised access to the
data by outsiders.
There is also the question of how much of your personal data you wish to
share within the office. Typically at least several people will be using the
same database in a networked environment. The past sales data, property
data and contacts data are potentially available to everyone in the office.
Sharing this data could lead to a more efficient operation overall, and that
may be the choice of some agencies.
However the agency may be set up so that the agents are competing for
sales. In this case, agents may wish to keep their hot leads to themselves.
In most products it should be possible to configure which parts of your data
you wish to share, and which you want to keep to yourself.

Data integrity features

Data integrity is about ensuring that data is not lost or corrupted. Features of
the software that support data integrity include:

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Provision for easy backups. Ideally the software would allow for fast
incremental offsite backups via the internet. Of course, if the
software is web based, this is taken care of already.

Many data entry fields can be protected from incorrect entry by

placing a reasonableness check on the data.

Internal features of the underlying database maintain the integrity of

the data itself. For example record locking ensures that simultaneous
modifications to the same record by different agent cannot occur.

Time management
Time management is crucial for real estate agents as many aspects of real
estate business are built around rigid schedules.
For example, the agent must be aware of:

daily appointments with prospective vendors and purchasers

regular open-house events which must be planned

expiry dates of agency agreements with vendors

critical periods and dates in property sales, such as the cooling off
period, contract exchange, settlement

the dates where the rent is due for tenanted properties,

dates for property inspections and lease expiry dates.

These systems can schedule appointments, reminders and alarms for all
these crucial events, and allow the agent to add their own personal
appointments manually. They also allow for notes and diary entries.

Communication and connectivity features

In the past, buying a commercial computer hardware or software tended to
lock you in to the products from that one vendor. Today, the trend is toward
standardisation where different products use the same hardware or software
interfaces and so can communicate to one another. Coupled with the
increasing use of communications technologies such as mobile phone and
email, this connectivity makes it much easier to get things done. The
problem is that the clients expectations are continually rising at the same
time!
Some examples include:

The system can generate and send emails or SMS text messages
about new listings.

Data about a property can be downloaded by the systems from data

providers on the internet. This data may include the lot and DP
number, maps, zoning information, photographs and so on.

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Listings can be uploaded, with photographs, to real estate listings

websites.

Digital cameras are an example of connectivity that everyone is

familiar with. With standard file formats for digital photographs, all
real estate databases are now expected have features to display
digital photographs.

Mobile devices such as mobile phones, tablet PCs and Personal

Digital Assistants (PDAs) can be used to collect and use data. For
example contacts can be transferred to/from a PDA or mobile phone.

A tablet PC can be used in the field for recording property

inspections, to be uploaded to the database upon returning to the
office (or indeed, might be uploaded in the field by accessing the
Internet using a wireless broadband connection).

Some products will connect to common calendar/appointment

software such as Microsoft Outlook. So the appointments and to-do
lists generated by the real estate software can be used within
Outlook.

Similarly, the mail merge functionality will use a common word

processor format such as MS Word, so that the letters sent can be
edited further, and stored for later review.

Real estate data products

So far, we have discussed database software that assists agents to carry out
their work by managing the data belonging to the agent. There is another
type of database product in real estate, and that is the sale of data itself.
Companies such as RP Data, Red Square and domain.com maintain
extensive databases of property information.
For example, RP Data collects data from many sources including:

Properties for sale in brochures and newspapers

Direct information from real estate agents giving advice of

upcoming sales

Data from the office of the valuer-general

Property information from the department of lands.

This information collected includes:

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Sales history

Photographs

Mapping data

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NSW DET 2008

Property information (ownership, Lot, DP, area etc)

Access to this information can be purchased by real estate agents to:

Assist with the appraisal of a property

Judge the state of the real estate market

Look at comparable properties in the same area

Estimate the performance of their agency

Private individuals looking for a house will also access these sites to do
research, such as:

Decide upon an area to live

Get an idea of the state of the market

Work out what they might need to pay

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Check your learning

Here is a check-list of the things you should now know or be able to do. Put
a tick beside each one you feel confident about.
I can

describe what a database system is, and the types of database systems available
explain how databases are used in real estate
list the typical features of real estate databases
describe the advantages of database systems in real estate
describe the information requirements of the real estate industry
access a local or online database system

How did you go? If there are some areas youre not sure of, you may like to
revise them before attempting your assessment tasks.

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Summary

This topic provided an overview of database systems and how databases are
used in a real estate environment to perform work functions. It looked
specifically at the various software applications in common use across the
property industry.

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NSW DET 2008

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