How Real Estate Would Be Affected In The Future By Artificial Intelligence
Artificial Intelligence (AI) is making waves in the real estate industry, and it could revolutionise the way people buy and sell properties.
While it was once considered an advanced technology of the future, artificial intelligence is very much a present-day reality. All appreciations to inventions such as self-driving cars, home assistant devices, automatic vacuum cleaners and remote home security solutions, Artificial Intelligence is everyone’s talking point.
With the help of Google and Alexa, AI is widely used to make both necessities and luxuries easier to access, create a much more comfortable lifestyle while improving human living standards. Recently, AI has been making waves in the real estate industry where it could revolutionize the way people buy and sell properties and agents do business. While the real estate sector like many others is slowly adapting to the data-focused world and slightly making some progress in identifying when and where artificial intelligence should be used.
Tech-savvy CEOs and development managers are gently getting self-education on the application of data analysis in order to stand a chance in the evolving market.
Let’s go through a few ways by which Artificial Intelligence will change the real estate industry in the future.
- Collecting and Analyzing Real Estate Data: Most agents work with outdated database that functions with a few missing key details. Artificial intelligence will be highly effective at analyzing and comparing large datasets, identifying outdated and incomplete data and later filing in the blanks. This is a task that would normally take a human several hours to complete which is done in seconds by Artificial Intelligence providing a comprehensive database that ca be immediately put to work.
- Smarter and Quicker Real Estate Management: Maintenance can sometimes make your pocket running dry. According to the 2018 JIL Occupancy Benchmarking Report, 30-40% of office space remains underutilized. This is generally referred to as silent cost as money losses aren’t openly seen. More to that, extra expenditure for energy consumption or unused square feet, added to poorly managed commercial space often leads to employee frustration.
- Improved Home Search Experience: The home search process is usually tough for some first timers. Almost every home search-engine uses an algorithm that filters out the most suitable homes based on factors like location, price, size and number of rooms. Although this model has proven several times to be effective, potential buyers are still often left with far more offerings that thy are willing to look through. This is where AI based algorithms come in to play.
- Improved Lead Generation and Marketing: AI-enabled consumer apps, machine learning interfaces, and chatbots are already benefiting several eCommerce businesses by collecting consumer data helping with improving lead generation and content marketing.
- Predict Property Value: Since it is possible for AI to analyze patterns in vast amounts of data, it can as well be used to make reasonable future predictions of any potential property value change. An AI algorithm has the ability to combine current market data from marketplace and CRM as well as consider public information such as transportation of network characteristics, crime rates, schools, and buying trends.
AI has a bright future in the real estate industry. While agents aren’t likely to be replaced anytime soon by robots, AI is here to ease the pressure of repetitive tasks requiring razor sharp attention to detail without ever calling in sick or taking leave. As you can see, real estate businesses can benefit from using AI in many important ways. Clearly, a lot of decision-makers in the industry are aware of disrupting the potentials of AI-enabled algorithms, so they’re exploring the use cases as you’re reading this.