AI is here to stay in real estate, and it will only become more popular as time passes. But some trends regarding AI are likely to wane, while the current of others will grow stronger. These industry pros broke down the trends most impacting AI's role in real estate, separating the flimsy from the real. Here's what they said:
1. Jasjeet Thind, Vice President, AI and Analytics at Zillow
“Our newest and fastest growing business, Zillow Offers, is a home-selling option for homeowners who want a certain and predictable sale on their timeline.
From a technical standpoint, Zillow Offers is incorporating machine learning into every step of the home purchase process. For example, our analysts use algorithms to generate synthetic CMAs (comparative market analysis) and determine the offer price. We’re also working to enhance predictive modeling to better estimate the time it will take for every Zillow Offers a home to sell once it’s listed.”
2. Grant Cardone, Real Estate Investor and CEO of Cardone Capital
“We have 6,000 units under management and use AI to maximize rental rates in the market. AI measures vacancy at the property and in the market, against rental rates in the market on a day to day basis, with the hopes of improving overall efficiencies of the operations. some cases we use additional insight as pattern recognition.”
3. Mark Choey, co-founder of Climb Real Estate and founder of Climb Labs
“The promise of “big data” and what you can do with that data is manifesting itself first and foremost in lead scoring and prediction. First.io is leading the charge on that front, turning CRM on its head by taking your contacts in your phone or address book and suggesting to you with a 5X increase in accuracy who is most likely to sell. It’s a revolutionary way of both simplifying the headache of using CRMs and automating the “stay-in-touch” with your seller problem. It’s brilliant.”
4. Saurabh Saxena, founder of Houzen
“We've been seeing quite a few companies jump into document reading tech. Companies such as Leverton would read through reams of documents and would extract the most relevant information and numbers required for a certain transaction. This is a simple application of computer vision. There are also quite a few sensor based companies which help optimize utilization in offices, and retail.”
5. Daniel Cozza, Chief Product Officer of Building Engines
“There is an unbelievable amount of pressure on today’s property management teams to provide an outstanding tenant experience and highly personalized service.
For fast-growing CRE firms, the seminal question becomes – how do you provide this differentiated, measurable service while scaling up across more properties and more square footage, without overwhelming or slowing down property management teams?
This trend is driving more firms to adopt cloud and mobile software equipped with AI-powered features to handle fast, personal responses to tenants, at scale, in order to meet their increasingly high expectations.”
6. Attila Toth, founder and CEO of Zesty.ai
“Undoubtedly Computer Vision. Thanks to ubiquitous availability of high resolution digital imagery from satellite, aircraft and drones; the unlimited and cheap processing power of the Cloud; and cutting-edge AI algorithms (e.g., Convolutional Neural Networks), properties can be characterized at high level of accuracy, at large scale at a small fraction of the cost of a physical inspection. This technology is set out to revolutionize Real Estate and every adjacent industry that touches Real Estate, such as mortgage or property insurance.”
7. David Lee, Chief Operating Officer at Kastling Group
“The real estate market is inefficient, and to improve these inefficiencies, there has to be more data about the transactions and the stakeholders. The #1 AI trend is using AI to obtain processable data about the stakeholders and transactions.”
Share your feedback and we'll consider adding it to the piece!
Have expert insights to add to this article?
Share your feedback and we'll consider adding it to the piece!ADD YOUR INSIGHTS