How artificial intelligence (AI) is impacting the real estate industry

From Google to Alexa, Artificial Intelligence (AI) is being used to make both necessities and luxuries easier to access, create a more comfortable lifestyle and generally make life easier.

Now AI is making waves in the real estate industry – and it could revolutionise the way people buy and sell properties and agents do business.

WHAT IS REAL ESTATE AI?

The volume of data real estate agents are presented with can be overwhelming, offering both great potential and complex obstacles simultaneously. The power of AI lies in its ability to take that data and turn it into opportunities that are easier for agents to convert.

It gives agents the ability to cultivate personalised and dynamic sales campaigns for clients, giving each prospect unique and relevant content to make the buying and selling process easier – and we all know the easier you make it to buy, the more likely you are to close a sale.

HOW CAN IT BE USED IN REAL ESTATE?

There are countless ways in which AI could be used in the future, but the ways it is having an impact on the real estate industry right now are:

• COLLECTING AND USING DATA

Most agents will have a database that is at least a little outdated with some key details missing. AI is especially effective at analysing and comparing large datasets, identifying data that is out of date or incomplete, then filling in the blanks. What would take a human hour upon hour of laborious effort is completed in fractions of a second, and gives you a comprehensive database that can be put to work immediately.

• CONNECTING WITH CLIENTS

After cleaning your database AI is then able to take that information and integrate with a CRM, using the data to create a profile that enables the generation of EDM, DM or push notifications that are customised for each individual client. By feeding clients properties based on their identified information – like price range, suburbs of interest, number of bedrooms, etc – agents are able to provide improved customer service with reliable and relevant marketing that is more likely to help in closing a sale. The bonus for agents is that this will increase the ROI on marketing expenditure.

• EFFICIENCIES VIA AUTOMATION

Not only will the data that agents use be more accurate and marketing programs be more appropriately curated, AI automates processes, saving precious time and resources. Artificial Intelligence (AI) is capable of collating the data it receives, integrating with a CRM, requesting specific pieces of data that are missing from records, responding to incoming inquiries via means such as a chatbot, and analysing the inquiries to create a ranked list of leads based on your desired variables and the likelihood of prospects taking action. It can even communicate with agents, sending text notifications when a lead is received and the urgency with which a response is required. The net impact of this is that time consuming, labour intensive tasks are taken care of, freeing up the agent to work on their relationships with current and prospective clients.

WHAT DOES THE FUTURE HOLD?

Already powerful, as it continues to evolve the potential applications for AI in real estate is mind boggling, with just a few possibilities being:

• Prediction of market values
• Enabling home search portals to recommend properties that align with the client’s preferences and profile
• Facilitation of property tours without an agent by working in unison with VR and AR technology
• Streamlining of the buying and selling processes, with faster and easier settlement and contractual approval

IN SUMMARY

While agents aren’t likely to be replaced by robots anytime soon, Artificial Intelligence (AI) can help alleviate the pressure of repetitive tasks requiring razor sharp attention to detail without ever calling in sick or taking leave.

Overall, AI makes life easier and supports agents in doing more of what they really want to be doing – selling properties. Based on this alone, exploring what AI can do for you and your business is well worth your time.