The official launch of ChatGPT has brought conversations about the future of AI, and its impact on civilization as we know it, to social media profiles and dinner tables all around the world. Without getting into the “singularity” debate, this technology is really beginning to find its stride. 

ChatBots are getting better and better at handling customer service queries. More and more businesses are finding opportunities to automate processes and analyse datasets using AI. And in Real Estate, the opportunities to streamline and improve processes are already taking shape. In general, AI can be used to automate repetitive tasks, analyse large datasets, and make predictions based on patterns in data. All of this can help property managers, agents, and landlords make better decisions and improve the overall efficiency of the real estate sector.

For example:

1. Chatbots: AI-powered chatbots are already being used to deal with first-line customer queries in many industries. The more the bot engages with customers, the better it gets at finding answers to simple queries that don’t require a human being to answer. In real estate, this technology could be used to assist potential tenants in finding suitable properties and answering basic questions about the properties listed on the site. This could help to better qualify leads before a human agent gets involved. For example, by answering questions about unit size and cost, a Chatbot could redirect a person enquiring about a 2-bed rental going for R 11 000 per month, that only wants to spend R 6 000 per month, towards suitable properties in their price range.

1. Image recognition: AI is capable of analysing property photos to extract information such as the number of rooms, square meterage, and other details that could be used to create more accurate property listings. More accurate data like this could also be useful in property development planning, helping to determine the appropriate number of units to be built on a brownfields refurbishment for example. 

1. Pricing analysis: AI can analyse market data to provide landlords with insights into the most competitive prices for their properties. AI can gather and assimilate bigger volumes of historic data much faster than a human can – such as current rental prices in the area, how long space has been on the market at each price point, and what space used to go for. More accurately collected data like this could help a human being spot trends in the area and use this to set more appropriate rents, in turn attracting more appropriate tenants.

1. Building Management: AI can support more proactive building management by alerting facilities managers to opportunities to optimise the use of resources and offering predictive maintenance recommendations. In essence, the AI analyses data from building information systems and sensors to spot inefficiencies before they become a problem. Inefficient water use could indicate a leak, for example, that would reduce utility costs when fixed. Similarly, inefficient energy use could indicate an HVAC system using more power than it should, and potentially in need of maintenance. A well-built AI could not only warn you of the energy consumption increase, but pinpoint the air conditioner at cause. A good example is www.smartbuilding.mob – our cloud-based property management software that benefits from our AI module integration to deliver predictive maintenance, energy optimization and document storage recommendations and information extraction.

A good South African example, that combines a number of AI capabilities to improve user experience for both landlords and tenants is www.instantproperty.co.za. As a commercial and industrial listing platform, InstantProperty.co.za  uses AI to provide more accurate and useful data on the properties listed. We have incorporated ChatGPT to use our data and data available on the internet to write vacancy-specific copy which improves the experience of the tenant looking for space as well as the landlord listing on Instant Property. It drastically improves the searchability of Instantproperty.co.za listings on Google from an SEO (search engine optimisation) perspective, which in turn results in more leads and more traction.

Locally and Internationally, companies are using AI to improve business operations in real estate by providing more accurate data, better insights, and more efficient processes. International examples include Zillow’s “Zestimates”, which can help homeowners and agents price homes more accurately. Cherre’s data platform helps real estate professionals make more informed decisions by providing a comprehensive view of the market, and Bricklane.com’s investment platform helps investors find the best opportunities by analysing large amounts of data. 

By using AI to automate repetitive tasks and analyse massive amounts of data, these companies are making the real estate industry more efficient, transparent, and accessible for everyone involved. As the technology continues to advance, the timing is ideal for real estate professionals in South Africa to leverage the benefits in their own businesses.