AI for Real Estate

By on Jul 15, 2019 in News

When you think of artificial intelligence (AI) in real estate, do you imagine a young Haley Joel Osment conducting unit tours? Maybe Data from Star Trek taking your job? Fortunately, the integration of AI into real estate is subtler. The day-to-day applications of AI are a great investment for your organization when you’re working with the right provider and services.

During the 2019 CFAA Conference, Dharmendra Sawh, industry principal, sales for Yardi Elevate at Yardi Canada spoke on the selection and integration of AI for real estate professionals. Below are a few takeaways.

What is AI in the Context of Real Estate?

AI includes machine learning and problem solving. In layman’s terms, this means that your software can gather data, process the information, and then use it to make observations and predictions. With the use of algorithms and statistical models, the software can use patterns and inference to perform tasks without receiving guidance from the user.

In real estate, Sawh explained, AI assists with countless day-to-day functionalities. It can collect data to show utility consumption by season, building, unit and tenant history. It can observe trends and identify oddities that may indicate a problem, such as a leak in a unit or ineffective SEM keywords. Apps that facilitate online leasing and marketing can increase response rates and improve property listing results. This information helps real estate professionals manage costs.

The possible applications for AI in real estate are endless!

When is AI Right for You?

With its vast array of potential, it is important for real estate professionals to discern which AI applications are beneficial for them.

Sawh suggested that AI is best applied in two circumstances: when there is a need for strong and unbiased data and when you want to create smoother transactions for a memorable user experience. AI that helps real estate experts meet those goals is worthy of consideration.

Strong and unbiased data can help real estate professionals maximize revenues and beat the market by at least 2 percent. AI can guide decisions using an array of factors other than pricing, such as rental income, concessions, occupancy and rental rates.

AI facilitates smooth and memorable user experiences by interacting with customers in natural and intuitive ways. Automated communications can answer prospects’ questions about the property, schedule tours, and remind them to renew their leases.

Selecting AI for Your Organization

The options on the market can be overwhelming. Price alone is not the best indicator for great or inferior products. Before committing to a brand, speak to multiple vendors about their products. Sawh recommends asking the following questions:

  • How many applications and logins will I need?
  • What is the onboarding and training process for your staff?
  • Will I have limited access to technical staff?
  • Is the data source relevant and where is it located?
  • What does a successful implementation look like?

Once you have narrowed down the product options, develop a plan, outlining all tasks and their outputs. Listing more characteristics will lead to more efficient task management system and better integration with new software.

Learn how AI can benefit building operators.