AI and VR in the RE Industry

It's no secret that AI (Artificial Intelligence) and VR (Virtual Reality) has infiltrated every aspect of our lives including REI (Real Estate Investing). But how does it help someone looking for real estate? How does it assist the industry professional? And are there any concerns we should have when using it? Personally and professionally, I have used both in some capacity. Maybe not to the extent that others have, but I can say that it has both helped and, at times, hindered my personal real estate business. How about you?

I often include virtual reality videos in my listings, whether they be professionally done or my own videos. I find the 3-D pro ones are very cool, allowing a potential buyer to go through the property as if they were there. However, I find there are limitations in that one doesn't truly get the feel for the layout, the volume of space or how it might work for them. Often you really don't get to experience the kind of neighborhood it's located in, the traffic patterns, pedestrian congestion and noise levels. Some people may look at the 3-D video and pass it by too quickly without realizing that the the best way to look at real estate is to actually see it in person. Not always easy if you're remote, however. While I'm not suggesting to or not to ever buy property without seeing it, I feel viewing a property in person, or at least by an advocate, is the best way to form an opinion. Plus it gives you the opportunity to come up with questions and concerns you may have. You know, like that damp feeling basement or skeptical odor, or potential neighbor that has a chicken farm that you wouldn't welcome. No offense to those that do. To each their own. Even with those limitations, I still find virtual reality to be a welcomed addition to the real estate experience.

Isn't it great to be able to sit on your couch and look at properties? Staying in your PJs, not getting in the car, fighting traffic or other hassles. I've read that homebuyers are 95% more likely to call you after viewing your property through their platform. AI helps property managers, landlords and AirBNB hosts buy enabling them to automate routine tasks, streamline operations and enhance the tenant experience. Some home stagers are using it as well to design different plans for their clients even in otherwise vacant, un-staged properties. I'm sure you've seen those programs where they show homeowners a virtual representation of how they can transform their home into something spectacular. Even architects are able to paint a blank canvas (aka an empty lot), into a viable and sell-able property. I also found that there's "metaverse" real estate or digital real estate in a virtual, interactive world where people buy and sell land with crypto. I don't even pretend to know anything about this. But I'm told it exists. All I know is that personally I use virtual reality in moderation, as well as artificial intelligence.

We already use AI in our lives every single day. Whether you use something to unlock your phone, spellcheck and predictive text to compose that email, or traffic aids in your car designed to detour you through that upcoming jam or accident, we're using artificial intelligence. Many of us have home security systems that use AI to alert proper authorities in an emergency. Have you ever wondered why when you do a search, you start seeing ads about the subject matter you searched on in different applications? It's all from companies using AI to predict consumer usage. It seems that a well known predictive chat service is all the rage now, from school students to industry professionals and others. Personally, I did use it once to write a listing description. While it used a couple of words I don't typically use, I decided instead to continue writing my own as I felt more connected to the finished product. I've read that some appraisers are finding competition from automated valuation models (AVMs), mortgage lenders are using AI in it's risk calculations and developers are selecting construction sites based upon AI platforms that have a vast knowledge of zoning regulations. I use AI in real estate every day to generate property recommendations. I also use platforms to schedule showings and many other platforms. Many of us are using artificial intelligence in one form or another. However, personally, I would never advise anyone to rely solely on AI as nothing beats that in-person, human to human, contact in real estate dealings.

We shouldn't feel overwhelmed or intimidated by AI or VR. We can coexist. So far that is!! Even the real estate industry has benefited from it. But when it comes to seeing properties: As Marvin Gaye and Tammi Terrell sang....."Ain't Nothing Like The Real Thing". What do you think?