A.I. in the Real Estate Industry? Seems Fishy ... 158

#house #realestateagent #AI

Deerwood Realty and Friends Podcast

This article I read today doesn’t match up with what I see in my everyday life and I wanted to point things out as I go along.

Subscribe Here https://www.youtube.com/c/Deerwoodrealtystl

Thoughts/questions:

1. Biggest names in the business? Loansnap? A startup? Compass? Didn’t exist 10 years ago…and Zillow…I’ll give you Zillow

2. Seems like a violation of privacy…and we used to call these things “life events”. Reasons why you buy or sell a house..divorce, death, marriage, etc.

3. Can’t loan officers do this now? Why do we need AI? It’s faster? So what?

4. That’s great and all that the AI is used for good. But this is all under the assumption that a person’s credit is good, they have a stable income, and that the housing market is either rising or stable.

5. In real estate, we use the word tech to mean something nebulus…which frightens other agents into thinking we have an advantage over them. Watch national brokerages…about every two weeks someone will come up with a new tech platform that is supposed to be miles ahead of anyone else…great for recruiting. A year or so later, a new one is introduced….it’s kind of the GM model for cars back in the day…every year it was the same car, but maybe add chrome here or there, change the headlights,etc.

#6. It’s not the holy grail for real estate agents…remember that story I told you about the agent in Canada that went to a friends house and asked her what she was going to do with the house after her mother had passed days earlier? That’s EXACTLY the same thing as AI finding someone who died, someone who got divorced, etc. Those people already get hundreds of calls and letters from agents…it’s not new, and AI isn’t going to change anything.

#7. This is totally b.s. No AI is going to tell you what the inside of a home looks like and give you an accurate price based on the market. Not going to happen. And, Sales doesn’t work this way. You don’t walk up to a house, ask, hey, is the dead person’s family still living here, because I’ve got news for you…your house is worth x.” You aren’t ever getting that sale.

#8. Do people really not understand the Multiple Listing Service? People look at listings because they like to look at houses..they do it for fun. There’s no lack of information in 2022 when a house comes to market. They are saying it’s AI when it’s literally a web search

#9. Yeah, how did this AI work out for Zillow Offers(see tab)

#10. It’s not crucial to these businesses

#11. Cheaper as in higher margins and getting rid of personnel…it’s not BETTER.

#12. Yeah, AI isn’t fixing the stress part on a buyer looking to buy a house in a stupid hot market, and it isn’t fixing the stress on a seller either.

#13. Very rarely do you ever need to close in 2 weeks. IF you do something is wrong.

#14. I just get the sense that companies are using technology to market their viability but it has nothing to do with actual success in real estate. They are saying, “hey look at this shiny thing, buy it”, then no one is critically asking “is it needed in the marketplace?”

Sources:
https://www.cnbc.com/2021/09/17/what-artificial-intelligence-means-for-homebuyers-real-estate-market.html

https://www.geekwire.com/2021/zillow-shutter-home-buying-business-lay-off-2k-employees-big-real-estate-bet-falters/
https://www.yahoo.com/now/compass-inc-reports-fourth-quarter-210600777.html

https://www.forbes.com/sites/rebeccaszkutak/2021/05/04/loansnap-raises-30-million-for-its-consumer-centric-mortgage-platform

Contact me at media@deerwoodrealtystl.com

Check us out at https://www.deerwoodrealtystl.com/