All of us want to buy our dream dwelling, but the process of buying and selling a dwelling is not an easy task. Undertaking buying and selling of your dream house or residence were considered as emotional and financial processes in the past days. But now, due to technological advancement and evolution of the digital era, this process has become much faster and accurate for dealers and buyers like you and me. Modern technological advancement has not only automated the process, but it has also streamlined the same.
In one of the reports by PwC, most of the business entrepreneurs believed that AI will is going to impact the fundamentals of their business in the future, AI was referred to by them as a “business advantage”. The same survey also shows that more than 63% of people agree that AI is beneficial for solving complex problems in real-time, while approximately 59% of people agree that implementing AI will improve the lives of people to a great extent. Thus businesses need to pay attention to the involvement of AI in their business.
The real estate industry has now started emerging modern trends, thus things have started changing drastically. Adoption of modern technology like Artificial Intelligence (AI) and Machine Learning (ML) in the real estate industry has brought tangible benefits for all the involved with this area. Parties like renters, sellers, buyers, brokers, agents, and many other professionals people who are indulged in a particular area.
Know-How Artificial Intelligence Has Dramatically Changed the Real Estate Industry
Real estate businesses are more forming to capitalize on AI advantages of AI. They are using this advanced technology for leveraging various advantages like improving customer satisfaction, service, acquisition leads, and much more for their business. This modern technology will not only reduce the routine tasks of businesses and employees but will also help them to increase their profit ratio.
Investing and incorporating technology like artificial intelligence can help businesses to leverage edge over the competition. It helps businesses to produce more accurate analytics and information for their business, which they can use later to provide the best experience to their targeted customers. Artificial intelligence (AI) can learn everything very fast and can produce a great outcome for a single investor or group of investors.
According to PWC Artificial Intelligence in the real state report, it was mentioned that AI-based innovation is predicted to lead around 11.3% growth in the GDP of German by 2030, and the real estate industry is not an exceptional case. And the real estate businesses that consider AI-based innovation can definitely leverage various advantages in their sector. There is an end number of ways in which Artificial intelligence can influence the real estate industry presently and, in the near future, explore each one to know more about the same.
Interaction with a person through text or voice has simply become possible due to virtual assistants or Chatbots. These virtual assistants are crafted to simulate how any individual behaves in a conversation and how to interact with them. Besides conversations with ideal customers, chatbots collect all data from human interactions and store it safely for the real estate entrepreneurs, they can later plan to capitalize their penny accordingly, this can help them to generate more sales and lead for their no time.
According to a Business Insider report, more than 45% of users love to interact with chatbots. They want to prefer it as the primary mode of communication when it comes to customer service inquiries. The key advantage of including virtual assistants in the business is that it will interact with potential customers all the time. More than 14% of people who are interacting with digital assistance or virtual assistance consider it as an advisor while more than 6% consider it as a friend.
Customers can get every answer to their question in real-time, they can solve their queries related to leasing terms, square footage, or any other term as per their interest. A chatbot can provide even more personalized experience based on different user’s preferences. Real estate businesses that consider involving chatbots can engage more visitors and can generate high lead conversion for their business.
Improves Data Management
Real estate brokers need to deal with a variety of data on a regular basis, they deal with data like a property appraisal papers, legal papers, owner’s history, property sales, and purchase details, and much more. The data management task keeps on increasing when the real estate agent reaches the final stage of the contract. But by computing all this work, they can decrease their paperwork burden dramatically.
Most of the documents these days have become digital these days, thus it becomes vital for agents to understand the importance of it and opt the method for dealing with the data. Many AI-based mobile apps and systems developed by professional application development companies are available in the market these days, agents can use this system to make their work more effective and quicker to some extent. Artificial Intelligence has introduced many newest and most innovative approaches for real estate agents using which they can manage data more comprehensively and that too, without much involvement of the human.
Effective Lead Management
The AI-powered systems help real estate agents to recognize data patterns. These data patterns are mostly drawn from historical sales records and support agents to identify the most demanded property types. This information can prove to be helpful for real estate agents, brokers, and many other professionals attached to this field.
They can use this information to plan a marketing strategy for their business in the most accurate way. AI-driven devices also ensure the broker that the target audience is interested in what particular broker or real estate agent is offering to them.
Value determination is always proved to be a troubling task for each and every real estate agent and brokers. And of the biggest hurdle which most of them face is evaluating the future value of the purchased property. Today’s appraisal techniques were based on various factors like previous sale price, infrastructure development and up-gradation, environmental change, and much more.
But not thanks to modern technology like AI and ML due to which real estate agents are available with pattern recognition abilities. Advance ML and AI-based systems have proved to be boon for us as it significantly solves all the issues by revealing all the factors which affect the pricing of the property. The global artificial intelligence software market is predicted to achieve massive growth in the nearby future and the revenue is expected to increase from 9.5 billion U.S. dollars in 2018 to 118.6 billion by 2025. (Source)
Additionally, this software poses the ability to streamline the negotiation process. It predicts actually where a price compromise is more likely to occur and how an agent can deal with it. Brokers can easily get precise information about the purchased or sold property and also about their targeted audience, which undoubtedly opens a broader opportunity for them to expand their business on a large scale. It also helps them to know low as well as the high price of the property so that they know what must be their initial offering for the particular property.
One of the topmost benefits of AI application is that it predicts future outcomes. It possesses the ability to predict patterns by analyzing the data collected by researching the market. AI has the potential to evolve the world of real estate business beyond imagined measures. It poses the ability to anticipate fluctuations that occur in the market, which helps agents to change the strategy and adopt the one that allows them to achieve their targets in no time.
AI can easily predict future sales and rent prices with the help of a combination of data-based analyses and human expertise. It also helps to identify the latest trends which are creating a buzz in the market and even helps them to pinpoint new opportunities that come on their way. They can know where actually to invest, and their investment will result in profit or loss. If real estate business considers AI-driven tools and application, they can quickly minimize the risk as well as can easily maximize their business ROI.
Artificial intelligence has much to offer to those who are indulged in the real estate space. It has benefited many industries like education, transportation, and many more, and now it is here to provide numerous benefits to the real estate agents. However, this technology doesn’t eliminate the need for human interaction to a whole extent. Still, the agents are required to select the property that best fits the user’s demand. Even when it comes to finalizing the deal, then agents need to have face to face interaction with the parties, agents also need to put a necessary step to transfer their fixing and flipping into sales.
Real estate investors need to understand the importance of artificial intelligence to capitalize on its advantages. They need to understand that this technology can help predict future scenarios so that they can plan their buying and selling strategy accordingly and can gain a huge profit from the same. And real estate agents who are not considering AI as a necessary technology for their business are definitely lacking to bagged accurate results. Artificial intelligence is a future technology that is here to stay for the long run and offer the end number of benefits to businesses by improving the overall performance of their business.
About the Author!
Manoj Rupareliya is a Marketing Manager at AppEmporio – Mobile App Development Company. who has been writing for various blogs. He has previously covered an extensive range of topics in his posts, including Business, Technology, Finance, Make Money, Cryptocurrency, and Start-ups. You can follow him on Linkedin or Twitter