How AI (artificial intelligence) is changing the real estate sector

Written by: Gannicus Oliver
October 3, 2020
  • According to a benchmark study in 2018, AI won't affect individuals' privacy and future employment in sector.
  • Artificial Intelligence will boost operational tasks' efficiency and change decision-making processes.
  • Through AI, prospective clients can engage and get more information before patronizing a real estate company.

Artificial Intelligence-based innovations will significantly increase globally by 2030, and the real estate industry will be part of that growth.

Contrary to what people believe, Artificial Intelligence will not threaten job opportunities and responsibilities in the real estate sector. Instead, it stands to empower real-estate companies to better the quality of services offered to clients.

AI adoption is on the rise in the real estate sector

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In 2019, Or Hiltch – co-founder and CTO at Skyline AI, announced a significant innovation in a conference. The first AI-powered transaction in real estate was done in 2018, to acquire real estate buildings in Philadelphia for $26 million. These properties were bought as part of the analysis through AI to determine if the same property can be marketed.

It is crucial to note that AI allows real estate owners to analyze property KPIs. Manfre, CEO of a popular infrastructure investment solution known as Bractlet, said to Commercial Observer.

Once we have this data, we have to figure out what it means,” which he explained, offering examples. “How is the building currently operating? Is it working correctly? How is it being controlled?”

Manfre also emphasized that the information supplied by Artificial Intelligence can help real estate owners know how to invest in their buildings and monitor returns that will be made from each property.

The co-founder and CEO at Deepki, Vincent Bryant said:

“The market is evolving fast! Property managers are aware of the great opportunities generated by data analysis and technologies. Using complex analysis models, we allowed a large corporation to save €4M in only six-month. It gives a great signal to the market that leveraging data and creating value from it is the new goldmine in the real estate sector.”

Experts predict that people using Artificial Intelligence will rise, as 28% of them foresee AI will create a significant change. Also, 36% agree on Artificial Intelligence as the potential for substantial cost savings. 

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Significant benefits of Artificial Intelligence 

  • Improved lead generation: Artificial Intelligence provides the creation and integration of chatbots, and consumer apps, to improve content marketing and lead generation. Through AI, prospective clients can engage and get more information they need before patronizing a real estate company.
  • Innovative property intelligence: AI-powered software can be used to gain an accurate and comprehensive property analysis. There are so many possibilities with this technology. 
  • Property management: With the help of AI, real estate business can monitor property listings, request for management, and many more. AI-software can help inform a property manager about price trends and maintenance problems in the real estate sector.

There are no doubts that the future of AI in the real estate sector is bright, as there are so many uses with this technology. Many real estate owners are aware of the powerful benefits of Artificial Intelligence, and they are making fair use of it.