Rohit MalikJul 22, 2022 16:50:59 IST
The emergence of AI and Machine Learning has brought a paradigm shift in the real estate sector. With their integrated AI and Machine Learning equipped model, online real estate marketplaces are the most promising futuristic concepts that are undoubtedly helping the real estate sector.
It is a given that these are the most practical tools for property valuation, trend analysis, and price forecasting. To determine the ideal pricing range, AI and Machine Learning employ a regression model that considers property parameters such as size, number of rooms, property age, house quality characteristics, and macroeconomic demographics. As a result, AI algorithms can forecast pricing depending on geography or future development.
In 2020, 53% of real estate corporations directly invested in technology, according to the University of Oxford’s research, Technology and The Future of Real Estate Investment Management. While 56 per cent of Statist respondents have already recognized the tech industry’s impact, 42% of respondents admitted they see potential in intelligent building technology.
Additionally, AI and Machine Learning allow large pipelines of algorithms to be integrated with valuable social data such as logistics, social amenities & public utilities, rainfall rates, sunlight availability, automobile intensity, pollution levels, recreational activities in the district, and much more to provide more precise and accurate insight into the real estate market. Though AI has made the property selling and buying process easier, it’s not just limited to that. The main and most important thing is that AI and Machine Learning have made the home value estimate more accurate and convenient, resulting in greater transparency throughout the buying process.
Furthermore, tech integrations like these offer more than just transparency in the home buying experience. For example, AI and ML have played a part in easing the home search for customers, from listings online to recommending properties to consumers.
Finally, one of the essential abilities that real estate brokers rely on is AI’s capacity to “predict” the future. For example, it is beneficial when estimating property values and rental rates. In this scenario, the AI model might gather information from public records, alternate routes, crime statistics, and school district estimations to generate a specific region value analysis.
Implementing AI will positively influence efficiency, management costs, transparency, and, most crucially, asset valuation. The artificial intelligence revolution has unquestionably arrived and is here to stay. AI in real estate will transform the whole property buying and selling process, providing consumers with relevant information in the most transparent way.
Future real estate transactions will be automated and computerized. Artificial intelligence and Machine Learning are becoming more common in our daily lives as their use gets more affordable. Real estate agents won’t have anything to worry about once they understand how to use the immense power of technology for their gain, as it streamlines the whole property buying and selling process, providing consumers with relevant information in a most transparent way.
The author is the CEO of Clicbrics. Views expressed are personal.