Introduction: What is AI?
Artificial intelligence is a computer system that can perform tasks that are normally associated with human intelligence, such as visual perception, speech recognition, decision-making and translation between languages. Evolution of AI is one of the most debated topics in computer science and with the rapid progress achieved by AI over last few years, it is often described as a dangerous threat by some researchers.
There are two apparent sides to this debate: those who foresee the threat and those who do not. However, I personally disagree with both opinions and I don’t think that AI will destroy humanity or any other form of life on Earth. AI is neither good nor bad; it is an unbiased system. It can be used by either the good guys or the bad guys and in this article, I will try to explain why.
To make any further arguments, we need to first understand what AI is and how it works. So let’s start with a brief description of what artificial intelligence actually is and how it works.
Is AI the Future of the Real Estate Industry?
AI is a real estate’s next great boom. AI is marketed as a useful and beneficial tool for real estate agents, but the future of this new technology does not seem promising. AI is not the solution to realtor’s problems. AI is not a magic tool that will automatically sell homes. AI may be a great tool for agents, but it is not the right solution. As an agent you do not want to rely on a computer to sell your homes and become successful. You need to take action, take ownership of the sales process because your best efforts will always be recognized leading to an increased success rate and increased commissions. The concept is that artificial intelligence can use information from the internet and other sources, including your client’s agents in real time. Agents will improve the overall marketing efforts, allowing for greater efficiency. Agents will find ways to apply technology to streamline the sales process giving agents better access to more information which will lead to quicker closings, higher commissions, and increased profits. AI is a marketing tool that is designed to increase sales and increase efficiency. This can also include more data collection and an opportunity for companies to buy data from agents.
How AI is Disrupting Mortgage Business
Artificial intelligence is the future of mortgage business. It is predicted that artificial intelligence will completely disrupt mortgage business. AI is not against humans. Instead, it can make humans more productive and efficient in terms of time and effort by automating routine tasks like collecting information from clients and analyzing complex datasets. AI will allow mortgage companies to focus on advising clients, making the customer experience more personal. Mortgage clients will benefit from the convenience of doing business online and by phone.
“The future is not something to be predicted, but something to be achieved.” – Dr. Albert Einstein.
Mortgage industries have been using customer relationship management (CRM) software in the past decade, with the aim of improving customer service. The major function of CRM is to consolidate all client information at one single place and better analyze it in order to make informed decision. However, traditional CRM systems do not encourage interaction between employees and customers.
According to statistics, mortgage companies have been removing the good CRM software and investing in artificial intelligence. This change is because company executives believe that machines and algorithms can do a better job of collecting data than humans. For example, some mortgage companies only store the amount of funds they owe clients so they can assess how much profit they’ve earned and if their policies are effective.
The Rise of Automated Self-Service Mortgage Processes for Real Estate Agents and Brokers
Artificial intelligence has the potential to change the real estate and mortgage business by automating portions of the mortgage-application process and providing information that could be used as a marketing tool. The rise of automated self-service mortgage processes for real estate agents and brokers is expected to drive growth in the market over the forecast period. Automated self-service mortgage processes have the potential to eliminate manual processing of mortgage applications, paving the way for increased productivity. Moreover, they will provide real-time access to data, which will enable borrowers and agents to reduce the time lag in decision-making processes.
The global market for mortgage process automation is expected to reach USD 5.54 billion by 2022, growing at a CAGR of 7.8% during 2016–2022 (forecast period). The market is expected to witness significant traction during the forecast period due to the rise in the number of automated loan processes, continuous improvement in artificial intelligence (AI), and rising demand for access to information. The growing demand for automation in mortgage processes is expected to be fueled by technological advancements and improved affordability.
However, a key challenge faced by the market participants is ensuring that automation does not sacrifice customer satisfaction. Also, regulatory changes will impact market growth over the next five years.
What are Some of the Best-Selling Products Real Estate Agents & Brokers Are Offering with Artificial Intelligence?
Artificial intelligence will help organizations in the real estate industry, especially companies that have a direct relationship with customers. Since most real estate agents work with people, organizations are trying to incorporate artificial intelligence into their business operations. Realtor associations and organizations are working to educate their members about the benefits of artificial intelligence, as well as help them identify and implement it.
Real estate agents who want to use artificial intelligence effectively will need to learn how it can benefit their business. They need to understand the kinds of tasks artificial intelligence will be able to do, as well as what kind of tasks they should continue doing themselves. Agents must also consider how they will educate their clients about artificial intelligence. The more effective they are at communicating its benefits and limitations, the more likely they will be able to implement it successfully.
Real estate agents should start with the following best-selling products to help them learn about artificial intelligence and begin implementing it:
Artificial Intelligence for Real Estate Agents and Brokers: How to Automate 90% of Your Work Using Microsoft’s Bot Framework and Bing APIs-[Fact Sheet]
Artificial Intelligence for Real Estate Agents- What You Need to Know Now-[Article]