ChatGPT leaves positive impression on real estate industry
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ChatGPT: For years, artificial intelligence (AI) has been heralded as the upcoming miracle that will revolutionize labor.
As more individuals utilize ChatGPT for a variety of activities in both work and education, it has drawn notice for its writing services.
With relation to online listings, AI has shown to be a valuable tool in the industry of real estate.
JJ Johannes, a real estate agent from Cedar Rapids, Iowa, painted a stunning picture of a property using ChatGPT.
In less than five seconds, the realtor quickly typed the description using a few key terms.
If Johannes had written it himself, it would have taken him longer than an hour.
“It saved me so much time,” he added. “It’s not perfect but it was a great starting point.”
“My background is in technology and writing something eloquent takes time. This made it so much easier.”
Since AI’s big release in late November, several realtors have started using it, including JJ Johannes.
Residential and commercial agents hailed the experience as transformative for their jobs and said it helped them generate listings, social media postings, and legal paperwork.
Additionally, ChatGPT has been used to automate tasks like doing intricate calculations and responding to frequently asked questions.
A tool called ChatGPT stores a ton of online data in order to quickly react to customer inquiries.
So far, these activities have been used with it:
- Original essays
- Song lyrics
- Research paper abstracts
Additionally, ChatGPT creates emails and handles accounting tasks.
When another user utilized the AI to pass an exam at an Ivy League university, questions were raised about the AI’s reliability and the potential for exam cheating.
ChatGPT was unveiled in November, and since then, there have been concerns regarding its possible drawbacks among numerous sectors.
However, it has already had a substantial influence on real estate agents’ regular business operations across the country.
Many more people have said they couldn’t imagine working without ChatGPT.
Broker Andres Asion of the Miami Real Estate Group said:
“I’ve been using it for more than a month, and I can’t remember the last time something has wowed me this much.”
Asion received a message from a customer who had recently moved into a property that was still under construction and was having trouble opening the windows.
Months passed with no response in her attempts to contact him.
After that, the broker sent a copy of one of her emails to the AI, editing it to highlight liability issues.
“ChatGPT wrote it as a legal issue and all of a sudden, the developer showed up at her house,” said Asion.
He has also used it to create legal papers like addenda and sent them to attorneys for review.
“I fine-tune all kinds of drafts with ChatGPT,” said the broker.
“Sometimes I’ll tell it to make it shorter or funner, and it gives you so many samples to pick and edit from.”
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Even though ChatGPT is free to use, its parent company OpenAI is reportedly contemplating charging a $42 monthly charge.
Andres Asion asserted that he was prepared to pay for the assistance.
“I would easily pay $100 or $200 a year for something like this,” he said. “I’d be crazy not to.”
Frank Trelles of State Street Realty in Miami described how it has changed how he operates, and he is prepared to pay for it.
“As soon as I tried it out, I was sold,” said Trelles.
“I went to sign up for a package, thinking it would be at least $100 a month, and was blown away that it was free.”
“Nothing in this world is free though – and that made me a bit nervous.”
Trelles claims that he leverages the AI to find permitted applications for specific plots of land and zones in the Miami-Dade County area.
He also uses algorithms and mortgage calculators to determine what mortgage payments or return on investment would be ideal for the customer.
“I can be in a car with a client when they ask me what their mortgage payments might be,” said Trelles.
“I can ask ChatGPT what a mortgage payment would be on a $14 million purchase at a 7.2% interest rate amortized over 25 years with two origination points at closing, and in two seconds, it gives me that information.”
“It also explains how it got the answer. It’s amazing.”
Potentials and limitations
Even though ChatGPT is among the best technologies now in use, it still has several drawbacks.
For instance, the tool had trouble with simple math in the past.
Trelles claims that it is only helpful for short, rudimentary computations and is worthless for getting correct answers.
According to Serge Reda of the Fordham Real Estate Institute, some people may be better equipped to use ChatGPT than others.
Additionally, the usage of AI has made it possible for brokers to create listings and responses more quickly.
Because lead generation and transaction closing usually necessitate a tailored approach, automation of client responses is rarely the ideal method.
“It’s accessible to everyone right now because it’s free and they can get a taste of how this powerful tool can work,” said Reda.
“But there are definitely significant limitations.”
AI uses in other forms
Realtors are focusing on ChatGPT now, although other real estate-related applications have already employed AI.
For instance, Zillow employed AI to generate floor designs and do 3D mapping.
In order to confirm that price estimates accurately reflect the state of the market, the Zestimate tool employed AI to analyze pictures to identify if certain houses featured stainless steel appliances or hardwood flooring.
Zillow has unveiled an AI capability that enables potential buyers to conduct research using natural language.
Zillow’s Matt Kreamer claims that the real estate sector adjusts more slowly than other sectors.
But he sees a lot more changes happening.
According to Kreamer, Zillow is not overly concerned with agents adopting ChatGPT to automate processes and cut down on time.
“We aren’t promoting or wary of ChatGPT but are interested in how it’s being used and watching it,” said Kreamer.
JJ Johannes thinks AI has the ability to drastically transform many other industries, yet it’s too early to say whether the technology will become a norm in real estate.
“It may not be with ChatGPT, but I believe some form of artificial intelligence like this will become a big part of how we work and live our lives,” he said.