Transforming Real Estate: The Impact of Artificial Intelligence

Real Estate Agent with Savvy + Company (704) 491-3310 228209

Transforming Real Estate: The Impact of Artificial Intelligence


Artificial Intelligence (AI) is a rapidly evolving technology that is changing the way we live and work. It has the potential to revolutionize many industries, and real estate is no exception. AI has the ability to analyze vast amounts of data and provide insights that would otherwise be difficult or impossible to obtain. AI is already enabling self-driving cars, early-stage detection of cancer cells, smart identification of retail store locations, and voice-activated home systems that self-set alarms and thermostats.


Many believe this is all new to us but, it’s not. Remember ‘Heat Maps?’ Many of us set up our websites based on data generated from previous website visitors. That data was collectively analyzed and we were told what should be ‘above the fold’ and what should be on the left side of the page vs. the right. That is one of the first ‘cool’ artificial intelligence tools I can remember.

Artificial Intelligence


One of the key benefits of AI in real estate is its ability to streamline and automate processes. For example, AI can help real estate agents and brokers automate tasks like lead generation, scheduling, and follow-up. This allows them to focus on more strategic tasks like building relationships with clients and closing deals.


Another application of AI in real estate is predictive analytics. By analyzing historical data, as in the heat maps, AI can predict future trends and help real estate professionals make better decisions. For example, AI can analyze data on property values, rental rates and other market factors to help investors identify opportunities and make better investment decisions.


AI can also be used to improve the customer experience in real estate. By analyzing data on customer preferences and behavior, AI can provide personalized recommendations and insights to help buyers and sellers make more informed decisions. For example, AI can analyze data on a buyer's search history and preferences to recommend properties that are likely to be a good fit.

AI can also be used to improve property management. By analyzing data on energy usage, occupancy rates, and other factors, AI can help property managers optimize energy usage, reduce costs, and improve the overall tenant experience. And, just wait until you see what MIT is working on for property managers and landlords. (See list below.)


Overall, AI has the potential to transform the real estate industry. It can streamline processes, improve decision-making, and provide a better customer experience. As AI continues to evolve, we can expect to see even more applications of this technology in real estate and other industries.

Both Ring and Nest, companies behind two of the best video doorbell models, turned to AI to better curate alerts on devices, based on what users want to see. For example, AI allows the devices to recognize the difference between an animal and a package.

Many of our clients have Nest thermostats. The ‘selling point’ of this system is that it recognizes the residents’ habits and controls the climate accordingly, saving us money while doing so. This form of AI has been around for quite a few years.

We all have smart phones and many of us have our Nest and Ring products tied to our phones so that we can remotely control our homes - from garage doors to high-end ranges, lights, thermostats and more. Some even have wireless dog treat release systems WITH cameras so we can be in the office, check in on our fur babies and have the system release a treat for them throughout the day. Then, we can run our iRobot vacuums via our phones, to clean up any crumbs left behind!!

Anyone have Google or Alexa? Those heavily use artificial intelligence to prompt the user to ‘shop’ paying sites. I call those click-bait and avoid clicking on them at all costs but, on occasion…something catches my eye and, guess what? AI got it right - I am out of that product or have been shopping for it recently.

While we may fight this technology tooth & nail, we all have smart phones and have already invited Big Brother into our homes. In fact, we did this well over a decade ago. And, unless we go off the the grid, we will continue to be followed by AI, according to everything I’ve read on the subject. I feel that someone WILL invent a block for this (at least on our phones) but, how much blocking will we do? The world of convenience is at our fingertips. Going backward just doesn’t seem to make a lot of sense.


Now, let’s take a deeper dive into how AI can impact real estate.


  1. MIT is currently perfecting an AI system that will predict when home maintenance will be needed, based upon sensor data from properties. The system can even go ahead and schedule the work for you as well! Think about those who own multiple rental properties and how handy this tool could be for you/them.

  2. Lawn irrigation systems have used this type of system for years, sensing rainfall to avoid over-watering. Homeowners can program their systems to turn off their system when rain is detected. 

  3. Zestimate algorithms are far more sophisticated than they once were. In the past, many areas were accustomed to a 35% error rate - either elevating the price or reducing it by that much in many cases. The median error rate is now 4.5%, a considerable difference and all due to AI. Many of our website vendors have a similar product and while they cannot replace real estate agents, the online valuations are significantly more accurate than they once were…again because of artificial intelligence.

  4. Predictive analytics such as Remine - one of the topics @Brad Andersohn reviewed with us on one of our Zoom calls. Many of us have used it over the years and I believe that because of AI, the platform will continue to improve.

  5. Real Estate CRM Software with Predictive Analytics. About 2 years ago, I was at a conference, taking a class on one of my apps that I had been using for about 2 years prior to that class. The class was supposed to be an advanced class to help us better use CRMs with predictive analytics. The instructor told us to long into our systems and when I did, I had a new ‘most likely to move’ client on the top of my list that I KNEW was not moving! BUT, the system had never steered me wrong and despite the fact that I had spoken with this seller within the past 3 weeks, I thought I’d shoot the husband a quick text - while I was sitting in class.

    Lo & behold!  He had JUST taken a new job and they had been sneaking a peek at homes in their destination city for the past two weeks. They were going to phone me when they got his offer package! Predictive analytics had been spot-on, as usual and it allowed me to get a jump on the preparation for the listing…and the seller made more money than they thought they would on their home sale because we had plenty of time to pre-market. Again, all thanks to AI and predictive analytics.

  6. AI is used in various steps of the mortgage process at some high tech banks. Analytics range from finding the perfect loan type for a borrower to finding the right investor for the loan.

  7. Finally, AI is not about replacing humans as many think. It’s about our need to derive greater value from increasingly sizable data sets. It’s about becoming efficient with automation, so humans CAN more easily analyze data, making their jobs easier. This allows them to focus on their real estate clients. Here are a few examples.

    1. AI can predict/target a buyers needs by creating tailor-made listing opportunities, based on clients’ preferences and previous viewings (including the amount of time spent on each listing).

    2. Performing marketing analyses - as mentioned before, this has the potential to change the world beyond measure! AI can predict future rent and sales prices, identify the latest market trends and even pinpoint new investment opportunities, all while maximizing ROI.

    3. While most of us like to speak with humans, if we need something quickly, there are some bot programs that can answer our clients’ calls. I see larger teams utilizing this, not individuals and small teams. For me, I prefer a human and am willing to wait for a human in the event I have a follow-up question to my original question. I will admit to being old-fashioned about preferring to speak in person or by phone over texting and emailing - bots are out for me!

    4. Blockchain: The execution of smart contracts is guaranteed with the help of predefined rules, not needing human intervention. These rules can check the legitimacy of the transaction and check contracts against already-established standards to reduce the risk of fraud as well. Many experts in the blockchain space are convinced that real estate transactions will soon be able to be carried out as easily as any online purchase.

  8. iBuyers use AI for their auto-valuation model. This ‘disrupter’ is likely to be the largest threat to our industry with the development of automated buying and leasing experiences.

  9. Video and email programs: This technology continues to develop quite rapidly. Many programs for sending videos and emails, keep tabs on who opened/viewed the videos & emails and how long they were viewed. 

  10. Social media: Real estate professionals purchase ads which are tracked with analytics provided for future advertising. There are even known ‘best times’ for real estate professionals to post to attract more viewers. 

  11. Some MLS systems have already began using AI to accommodate the need to meet the needs of handicapped users. Photo information is 'dissected' and read aloud to buyers with visual loss and TTY (voice-to-text) capabilities for those with hearing loss.

  12. Other programs are in-the-works that will analyze photos - letting the buyer know that the countertops in the photo are granite or quartz, cabinets are oak or maple, flooring is real hardwood or engineered hardwood...You get the point! This could be a game-changer for our industry, to say the least.

This list could go on and on and as it happens, today, I attended an Open House where there was a lively discussion about AI and ChatGBT. I shared an example that one of our AR members shared with us on our AR ZOOM call...

Kat Palmiotti tried out the service and it was terribly wrong on many counts with one very simple question! I cautioned them to continue to use their own content in everything they do. The level of false information that we are seeing on this platform is exceptionally scary in our industry. 

Many thanks to the wonderful AR members who joined us on our call and shared their experiences and knowledge about AI. We all learned SO much about AI - what a great meeting!

What are your thoughts on Artificial Intelligence and its impact on our industry?


© Debe Maxwell, CRS | The Maxwell House Group | RE/MAX Executive | | Transforming Real Estate: The Impact of Artificial Intelligence

Comments (25)

Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC

Oh, it's going to be something we never saw coming, George Souto - I am confident about that! 

Mar 24, 2023 07:17 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Debe my take is this concept is overrated.... AI does not know what the next-door neighbor is like... I can go on and on.... AI does not know what the agent representing the buyer or the seller is like.... reminds me of 25 years ago when the Jack Asses met in San Francisco and said they will eliminate Realtors.... today two of them are Managing Brokers of Real Estate Companies... my short answer is never under estimate a Realtor. Endre

Mar 24, 2023 09:36 PM
Patricia Feager, MBA, CRS, GRI,MRP
Selling Homes Changing Lives

Debe Maxwell, CRS - all very important information about AI including comments by Leanne Smith and Kat Palmiotti. In addition, I am not alone in being skeptical of 5G either and all the artificial (definition: counterfeit, factitious, pretentious) intelligence (defintion: capacity for learning, reasoning, understanding, and similar mental forms of activity; aptitude in grasping truths, relationships, facts, meanings, etc.) . 

When approaching rebuilding the future based on AI, I would not put my money in the bank (land sloping down to a river or lake) - no pun or fun to think about today. 

Mar 24, 2023 09:49 PM
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Hello Debe - time may tell more as consequences (intended as well as unintended) make their presence known.  Of course, there will be those who consider its arrival as a gift and others who may have not-so-kind thoughts.  In the meantime, we attempt to improve awareness.  

Mar 25, 2023 03:42 AM
Brian England
Ambrose Realty Management LLC - Gilbert, AZ
MBA, GRI, REALTOR® Real Estate in East Valley AZ

It's quite amazing where things are heading but also a bit scary as well, haha.

Mar 25, 2023 05:58 AM
Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400
The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803 - Plainview, NY
Long Island Condo and Home Specialists

Yes Debe, AI is all around us and who knows how it will be used in the future. Exciting, but scary at the same time ~

Mar 25, 2023 06:37 AM
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC

I agree, Endre Barath, Jr. but, as skeptical as we are and as cautiously as we approach this concept, it IS here and getting larger by the day.

It's like I told agents about the iBuyers - you have to have a full understanding of what they are doing to combat them when you go to listing appointments. The more we know & understand about AI, the better equipped we will be to do our 'boots-on-the-ground jobs.

Mar 25, 2023 07:24 AM
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC

No, I enjoy gambling at the roulette wheel - nothing else and certainly not something like this, Patricia Feager, MBA, CRS, GRI,MRP.

Kat shared a scary find when she asked the AI bot a question - it spit out a great answer but, 90% of it was WRONG!! I've had that same experience when I tested it - not 90% but, still a good amount of what it produces is wrong. 

The system/programs/bots are only as good as the data it's fed and we all know that everything you read online is not true. So, how will this ever be 100% correct? How can we ever rely on anything it gives us?

Mar 25, 2023 07:28 AM
Patricia Feager, MBA, CRS, GRI,MRP

Debe Maxwell, CRS - in times of crisis, AI is a life saver! Some of the most heart breaking news stories I heard began with safety features on cell phones, smart devices, cameras, and direct communication to Police, Fire, and GPS. When there is trauma, every second counted to save lives. That's where I think AI is a gift.

There is no doubt that to be successful in business, the CEO, Broker, Manager needs to make wise decisions, especially to protect their business and the people employed. Speed, accuracy, and success matters. 

For anything outside of that, it all depends. There are amateurs and a lot of wrong information as Kat Palmiotti discovered and shared. I always wonder, who is collecting information ? What is it being used for, and who are they? Where did it come from? Will my identity be jeopardized? 

We are in the people business. People need people and where are sources of information comes will achieve results, but are they valid? That is the question. 

You are doing an excellent job with the Zoom Conferences. Thank you for all you do. This was a very informative blog post you wrote and I wish I could have been on the Zoom Session. 

Mar 25, 2023 07:48 AM
Debe Maxwell, CRS

Thank you, Patricia Feager, MBA, CRS, GRI,MRP. We would love to have had your input on this topic too. It's a very laid-back group and we always pick something up during our discussions. As I was leading the meeting on Tuesday, I needed to read as much as I could about AI. So, I started taking notes before the call and this post is those notes...'prettied up' a little bit!! 

We would LOVE to have you join us on the calls!

Mar 25, 2023 07:56 AM
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC

I was in a meeting last Wednesday after having attended AR's ZOOM call, discussing this topic. I was the only one who was cautious about it - others are using it and all said they are loving it, Michael Jacobs. I don't believe any of them are writers/bloggers so, they haven't developed the level of caution that we have. For me, my reputation is more important than using some computer-based program in a 'drag-and-dump' manner. 

Like Endre Barath, Jr., I want to see it, in person to accurately report it, not sit behind my computer all day, spitting out information someone else a BOT found online for me!

Mar 25, 2023 07:33 AM
Michael Jacobs

Debe Maxwell, CRS - some of the examples I have seen make me think of the old Clif's notes that were used in the dark ages of school (aka the time I was a student).  I know it's not the same but the idea of "quickly finding the answer" (ie reading the book is so 'over' - right?) seems eerily similar.  I'm open to learning more but. . .   

Mar 25, 2023 08:08 AM
Debe Maxwell, CRS

Oh, I hear you, Michael Jacobs and that is a perfect example. Professors ALWAYS knew if someone read the CliffsNotes, didn't they?!! There were definitely details missed - and oftentimes IMPORTANT ones.

Mar 26, 2023 09:04 AM
Carol Williams
Although I'm retired, I love sharing my knowledge and learning from other real estate industry professionals. - Wenatchee, WA
Retired Agent / Broker / Prop. Mgr, Wenatchee, WA

Hi Debe,
We are far deeper into the world of AI than most people even realize, and it continues to evolve at the speed of light.

Everything has consequences, regardless of intentions. It's a law... Newton's Third Law. For every action, there is an opposite and equal reaction.  My brain can't even comprehend it all. 

Mar 25, 2023 10:41 AM
Buzz Mackintosh
Mackintosh REALTORS - Frederick, MD
“Experience, reliable, leadership”

Very informative post. I have been inundated lately with AI info and it feels like when the World Wide Web first came on the scene. Let's just hope the 1970's movie War Games doesn't become reality!!

Mar 25, 2023 04:40 PM
Kathy Streib
Cypress, TX
Home Stager/Redesign

Hi Debe0- you really did your homework!  I have a love/hate feeling about AI. Used as a tool that WE CONTROL, it can take all of the information that we can gather and help us actually do something with it. I love that I can program my lights to turn off and on or even turn them on when I'm not even home. 

I'm not sold on AI writing for me. 

Mar 25, 2023 05:20 PM
Kathy Streib
Cypress, TX
Home Stager/Redesign

Mar 25, 2023 07:01 PM
Brian L. Sirota, Esq.
Bristar Realty (Realtor/Attorney) - Orange, CA
For Solutions: (714) 501-7660

Debe, this is a genuinely impressive summary of the juncture where AI meets real estate, and beyond.   

AI has ushered in a new era.   Understanding its perks and drawbacks is essential for the cutting-edge professional.   AI represents efficiency.   It's far too easy to criticize and fear new technologies, but it's the professional with the attitude, ability and curiosity to capitalize on AI who I'd want in my corner.  

Love this post!

Mar 25, 2023 08:22 PM
Ed (Edward) Silva, 203-206-0754
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

So much of what we take for great  today that was a rare thought years ago are as a result of AI. It is here to stay and evolving mor every day

Mar 26, 2023 07:20 AM
Roy Kelley
Retired - Gaithersburg, MD

Thank you very much, Debe, for this outstanding post.

You have mentioned enough topics to create blog thoughts for the rest of the year.

Mar 26, 2023 08:50 AM
John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Hello Debe Maxwell, CRS thank you for the very valuable educational report about the impact of artificial intelligence on real estate.

Mar 26, 2023 02:11 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Debe Maxwell, CRS  yes AI is here but let's be real,... do not buy into the "it's a machine world" you wrote the blog post not AI and the comments are real and heart felt not AI and to be clear AI will reduce the Realtor community you know the ones that should not have been here in the first place... and ironically AI might help improve Zestimates:))Endre

Mar 26, 2023 09:03 PM
Leanne Smith
Dirt Road Real Estate - Golden Valley, AZ
Relocation to NW AZ with elbow room & more freedom

Just came across this article by NAR respective to AI

Mar 27, 2023 07:15 AM
Kieran Jackson
Keller Williams Hollywood Hills - Los Angeles, CA
Realtor®, SFR, U.S. Army Veteran

Thank you for this post! It's given me a few things to research over the weekend. I have been using AI for the past few weeks to generate scripts and blog posts. I have only used one AI platform, and some of the responses I get from the AI have been very interesting. Especially in regards to the questions or topics it does not want to comment on.


All the best!

May 05, 2023 07:50 AM