Real Estate Industry and Artificial Intelligence

Real Estate Industry and Artificial Intelligence

By | 2019-03-21T15:56:39+00:00 March 21st, 2019|AI, Technology|0 Comments

Real Estate industry and Artificial Intelligence technology might sound like two very different worlds. If a computer can provide sound purchasing and investment recommendations, why do we need financial advisers and real estate experts? AI development might seem to be a threat to some business models. But the real case is that there are a few opportunities that are exciting. And AI can work alongside humans to streamline real estate processes.

AI Can Be Leveraged For The Real Estate Industry

First of all, Artificial Intelligence has the ability to power machines to perform complex tasks like problem-solving, evaluation, pattern recognition, decision-making, language production, and comprehension. Brokers deal with a huge number of data like property reports, sales details, legal papers, zoning regulation, and ownership history. Managing this data is not easy. Indeed, the computer reduces the paperwork but doesn’t make it much efficient. Even though these documents are digital, but we still need assistance from humans for overall supervision. Some organizations have been using ERP, ECM, BPM to solve their data issues. But these systems are not that efficient.

Real Estate Industry

Finally, Artificial Intelligence is one of the newest ways to manage your data in a more comprehensive, faster way and less or no human assistance. AI can also perform exceptionally good when it comes to conducting demographic research, financial analysis, and environmental evaluation. And with AI-powered tool integrated into your system, you can get a prior notification in terms of missing signatures, empty fields, legal missteps, and invalid characters. As a result, you can structure your data logically, securely, retrieved and analyzed easily.

Get Data-Driven Actionable Insights With Artificial Intelligence:

With AI software development, companies can use patterns to streamline and enhance sales processes.

  • Lead Management with AI

AI system can sort piles of data patterns drawn from historical sales records to identify the most in-demand property. This data can help marketers, brokers, sales reps for their marketing activities. Additionally, AI removes the need of contacting potential clients.

  • Automated Valuation

Determining the value of a property has always been challenging and the price evaluation depends on the amount of data provided. Current techniques are based on previous sale pricing, failing to take into account factors like infrastructure improvements, transportation, changes in the environment, and some other aspects. With AI’s pattern recognition capabilities, this issue can be solved considering the affecting factors.

  • Negotiation Process

AI software development can also streamline the negotiation process by predicting the price compromise space. This can provide brokers with a lot of important information and prevent from lost opportunities and fails. Certainly, with the knowledge that the initial offer made is up to the market standards.

Real Estate Industry

  • AI offers visualization

Finding a property and making clients fall in love with that property is the hardest part. But with AI development, customer satisfaction rate can be increased. Powerful visualization software can be developed to satisfy the needs of the customer. Evaluating whether a particular place could turn into their “dream space”. Currently, there are apps that use augmented reality to allow users to see how selective furniture would look like in a particular space. According to Business Insider reports, this segment is gaining a lot of popularity because of its convenience and recommendation aspect.

  • AI-powered chatbots for 24/7 responses

The world has already seen the rise of chatbots and they are likely to remain a trend in the technology industry. As AI is paving the way of bots, now chatbots can quickly learn and respond to more complex and specific queries. This is the reason why chatbots are trending and are really helpful. According to the statistics from a Business Insider report, “approximately 45% of users prefer chatbots as the primary mode of communication for customer service inquiries.”

The main advantage of the chatbots is that they are ready to interact with the potential customers 24/7. They can quickly answer any question. Whether it is leasing terms, square footage, surrounding area, ownership, or any other topic. Also, a chatbot can make personalized offering depending on user preference.

Real Estate Industry

But along with these advantages, AI raises a concern whether the technology will replace humans. Though some people do fear this is going to happen, the reality is that AI is only going to take over the repetitive tasks and data management aspects. Because AI will take all the repetitive tasks, humans will have more time to focus on strategies, complex work, and creative tasks. This may even give rise to new professions at the intersection of jurisprudence, real estate, and computer science.

To Conclude

Real Estate industry is heading towards digitization and an automated future. As AI development is going to be cheaper in the upcoming years, it is going to be more and more common in our lives. Once the real estate industry is going to learn about AI’s tremendous power, it is only going to benefit them in the future. Tomorrow’s AI is going to be a strong part of every real estate agent’s business.

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