How Artificial Intelligence is Affecting First-Time Home Buyers
Technology allows us to take new approaches to old problems, and these approaches are faster, easier, and yield better results. This is as true in the real estate industry as any other – in a realm where buying and selling homes used to require lots of hard work, innovations like the internet, artificial intelligence, and mobile computing have made the process much less strenuous than it was in the past.
One of the newest technological breakthroughs, both in the real estate sector and beyond, is the use of artificial intelligence. AI has absolutely revolutionized many processes associated with buying and selling homes, and as a result, first-time home buyers are reaping the benefits in a major way. Let’s take a look at how AI potentially affects first-time home buyers for the better.
Artificial intelligence might bring up ideas of red-eyed talking computers that try to lock you out of your spaceship and sing Daisy Bell, but the Hollywood version of AI and the real-world application of artificial intelligence are very different. In the context of real estate, AI has been used, quite successfully, to speed up processes that real estate agents, and house hunters, were already doing. The research that goes into finding homes for sale and matching buyers with the right mortgage, for example, are all things that realtors have always done – now, with the aid of Artificial intelligence, they’re getting done quicker than ever.
A real-world example of this is the well-known real estate site, Zillow. Its Zestimate tool uses artificial intelligence in the form of a complex network of algorithms to track and analyze home values and come up with a likely price estimate. In fact, in 2022 alone, Zillow used the Zestimate neural network to evaluate 100 million homes. Thanks to its newest AI upgrade, the network has one of the most accurate prediction models on the market.
But Zillow is just one example of how AI can help make the home buying process easier for everyone involved. Just about every large-scale company in the real estate sector is leveraging artificial intelligence for their own needs, and the proliferation of AI means that this directly helps home buyers. First-time home buyers especially benefit from the sheer power and speed that artificial intelligence brings to the house hunting process since the supply of homes for sale in the United States has made it exceedingly difficult to find the perfect starter home.
How AI resolves these problems is deceptively simple.
