Artificial Intelligence (AI) refers to the development of computer systems that can perform tasks typically required by humans. These computer systems are programmed to run by mimicking human learning, reasoning, problem-solving, perception, language understanding, and even interaction. They are programmed to change how they operate depending on the data they receive. The goal of AI is to enable more efficiency in life. They have already been integrated into many parts of our lives without us being aware of the technology. The same holds true in real estate. AI is already being used to sell homes and will continue to advance with time. The question is often, “How will AI change how I sell my home?”
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HOW AI IS ALREADY USED TO SELL HOMES
- Automated Valuation Models (AVMs): If you have ever submitted your home address to find the value of your home, then you have used AI, specifically an AVM. These are the systems behind Zillow’s “Zestimate” and Realtor.com’s “Real Value“. AVM’s are used to analyze various data points to estimate the value of a property. This can help sellers understand the market value of their homes more accurately. While these systems are often useful when comparing similar homes in a large subdivision, they have difficulty without having accurate data such as upgrades, condition of the home, or custom designs.
- Facial Recognition for Security: When you put your home up for sale to the public, AI is used to grant licensed real estate agents access to your property. Oftentimes, the software “Sentrilock” is used by agents to get access to the lockbox and key. AI is used in the facial recognition aspect of this software. Another software, “ShowingTime” uses AI to integrate with Google Maps to provide agents with real-time traffic alerts based on their showing schedules. It can also send alerts about MLS status changes on appointments and reshuffle a calendar as needed.
- Market Analysis and Insights: AI tools are also currently used in home selling to analyze vast amounts of market data, providing sellers with insights into local market trends, demand patterns, and pricing strategies. These real-time systems like Property IQ offer a quick analysis that can then be used as a foundation for coming up with the best sale price of a home.
WHAT CHANGES CAN YOU EXPECT
The idea is that in-time, real estate agents will be regularly using AI-driven chatbots to help answer client questions, schedule property viewings, and provide information on-demand. The aim is to enhance customer experience at the same time freeing up agents to focus on more complex tasks. More and more programs are being developed to help both real estate agents and homeowners sell homes more efficiently and effectively. Only time will truly tell which programs are mainstreamed and which ones do not.
CHALLENGES
While these advancements can streamline and improve the home-selling process, it’s important for sellers to consider potential challenges, such as data privacy concerns, the need for ethical AI use, and the potential for biases in algorithms. There is growing concern that AI poses new ways for people’s data to be breached and used for illegal purposes. There are ongoing efforts trying to address these issues. Another challenge is that since the introduction of AI, many are opting for traditional human interactions as an indicator of superior customer service. For some, there is nothing like real dialogue with a real person to help a homeowner feel confident and secure in the home selling process, especially through complex transactions and negotiations.
BOTTOM LINE
In summary, in answering the question, “How will AI change the way I sell my home?”, the answer is that AI is here to stay and will continue to find ways to offer more efficient ways of conducting business. AI has the ability to streamline and enhance various aspects of the real estate process. Still, the complete replacement of real estate agents would be a significant shift that would require careful consideration of user needs, legal implications, and the role of human expertise in the industry. To this day, the value of the human experience stands above the conveniences of computer programs. Just like AI, it seems, real estate agents are here to stay.
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