The real monsters in proptech? Overpromising, under-delivering, and funding on life support.

🎃 Proptech’s scariest trends: from hype to hard truths

As Halloween nears, the ghosts haunting proptech aren’t found in dark corridors — they’re hiding in pitch decks, feature lists, and overpromised ROI.

A recent Commercial Observer feature (“Proptech’s Scariest Trends,” Oct. 21, 2025) asked industry leaders what truly keeps them up at night. Their answers reveal an industry growing up — fast.

💀 The end of “easy money” proptech

Venture capital once poured into real estate technology with little restraint. But as Janine Steiner Jovanovic, CEO of LeaseLock, told Commercial Observer, proptech is shifting “from explosive growth to maturity and consolidation.”

That means fewer moonshots — and a stronger demand for measurable value.

The VC correction has created what Jovanovic calls “zombie proptech companies” — startups still walking but long past viable. Many rode the hype wave without achieving sustainable product-market fit. The next stage belongs to firms that can prove performance, not promise it.

🧩 The adoption gap

As Commercial Observer recently reported, Or Goldschmidt, CEO of Roomrs, pointed out the widening gap between what modern renters expect and what landlords actually deliver.

Millennials and Gen Z tenants prioritize flexibility, trust, and digital transparency — qualities many owners struggle to meet. Those who adapt gain loyalty; those who don’t risk being left behind.

It’s a reminder that tech adoption in real estate isn’t automatic — it’s earned through practical usability and clear value for both operators and residents.

🕰 The danger of overselling tech

Goldschmidt also warned that “many companies oversell their tech and under-deliver on their proptech.”

Sound familiar? The WeWork era’s “grow-at-all-costs” mentality left a shadow across the sector. Overstated automation and shallow integrations waste resources and damage trust.

Real estate moves slowly for a reason — assets are capital-intensive, processes are regulated, and decisions must be defensible. Promises that ignore that rhythm tend to fail spectacularly.

⚙️ The real fear: integration fatigue

Even solid tools can stumble when integrations overcomplicate operations. Jovanovic noted that “fragmented markets and vendor overload” now haunt many owners and operators.

Each disconnected app introduces another data silo, another training cycle, another frustration.

The winners of 2026 and beyond will be those who prioritize interoperability and simplicity — systems that talk to each other, reduce friction, and deliver measurable ROI within a single fiscal cycle.

🧠 What it means for CRE budgeting and forecasting

For commercial real estate teams, these “scary trends” hit close to home. The days of shiny-object software are over.

Finance and operations leaders now demand platforms that:

• Integrate with existing accounting and asset-management tools

• Provide transparent, auditable data flows

• Deliver value in months, not years

• Align with long-term capital-planning strategies

At Kardin, we’ve seen how disciplined adoption — not trend-chasing — drives results. Proptech maturity is about pairing trusted financial models with evolving digital ecosystems, and letting data serve strategy, not the other way around.

🕯 Final thought: fear less, execute more

The most successful firms will be those that stay grounded in fundamentals: clarity, integration, and accountability.

As Ori Tamuz of DoorLoop told Commercial Observer, “proptech adoption isn’t inevitable — it’s earned.”

For those building or buying CRE tech, the takeaway is simple: don’t fear the ghosts in the machine — fear the hype that distracts you from execution.