How to find a good data partner in real estate

The key to a smooth data acquisition process is partnering with an experienced data provider. When it comes to the real estate industry, which is highly dependent on the most accurate and up-to-date information, strong and reliable data partnerships are crucial.

The following tips will help you find a good data partner for your real estate business:

• Identify your data needs
• Get involved in the acquisition process
• Know what makes a good data provider
• Evaluate the success of your data partner

Identify your data needs

The first step to choosing a data provider is understanding which data piece will serve your needs. Once you have a clear idea of what you are looking for, you can assess whether the provider can fulfill those requirements.

Start by asking yourself the following questions:

• How will your business use and serve the data?
• Do you have any specific goals for the data?
• Is now the right time to buy the data or should you wait?

Then, you can align and map these answers to the data providers you are considering to determine which is the match for you.

Get involved in the acquisition process

Whenever you acquire or work with data, you should learn as much as you can about its source to preserve its integrity and longevity. To understand how the data supply chain works, you can ask the data provider:

• Where does the data come from?
• Is it possible to get the data from just one source?
• How did you collect the data?
• How often is the data updated?
• Who owns and is responsible for the data?

Taking the time to do your due diligence ensures that your expectations are met and that you are happy with the results. In addition, these terms must be clearly outlined in a contract to ensure everyone is on the same page.

Know what makes a good data provider

Choosing a data provider comes down to the quality of the data they offer. Not all data providers are created equal. However, good data shares the following characteristics:

• Consolidated: Combining data from multiple sources into one dataset eliminates the need to gather information from several separate sources.
• Complete: High-quality data providers ensure their datasets include comprehensive information without gaps or missing points.
• Reliable: Reliable data providers follow rigorous data collection methods and validate their data to ensure that the latter is accurate, consistent, and unbiased.
• Trustworthy: Data providers who make their sources and methodologies transparent build trust among those who rely on the data to make informed decisions.
• Robust: Providers with substantial granularity, extensive variable sets, and historical information allow users to extract meaningful insights.
• Streamlined: A streamlined dataset is well-organized, structured, and easy to access, making it easier to explore, integrate, and analyze the data.
• Close to the source: The best data providers obtain data as close to the source as possible, which minimizes the possibility of data distortion, manipulation, or delays.

Working with a provider who is flexible and adaptable is also important. Good partners will be able to grow with you rather than just meet your needs at one point in time. Make sure your partner can evolve alongside your business in case your data requirements change.

Evaluate the success of your data partner

Partner with a company that understands how to deliver data effectively. Building your data ecosystem requires aligning with the right partner and ensuring they can support you throughout the process. More specifically, measure their performance based on service-level agreement metrics, such as uptime and first-call resolution. Your contract or agreement should include these metrics so that you can gauge whether the provider meets your requirements.

The most important thing is that you can share your feedback and express your concerns. Depending on their prior experience, a good data partner should be able to troubleshoot problems with you if necessary.

You can also evaluate your data partner based on the data itself. If no one challenges or claims that they have seen different information elsewhere, you likely have a good data partner providing you with accurate, standardized, and reliable information.

In summary, a successful data acquisition process relies on partnering with a reliable data provider. Identify your specific data needs, actively engage in the acquisition process, and assess the provider’s quality, reliability, and flexibility. By incorporating these key steps, you can establish a strong and enduring data partnership for your real estate business.