As artificial intelligence (AI) continues to advance rapidly, many industries are on the cusp of major changes and opportunities. The residential real estate sector is no exception. 2023 saw the emergence of new AI technologies aimed at enhancing various aspects of buying, selling, and managing homes. However, experts predict 2024 will be the year these tools truly transform the daily operations and workflows of real estate professionals. Rather than replacing human roles, AI will augment real estate brokers and agents, allowing them to work smarter and provide superior service.

Streamlining Administrative Tasks

AI-powered tools will help brokers and agents be more efficient in day-to-day tasks. Chatbots and virtual assistants can handle common customer inquiries, freeing up human agents to focus on high-value activities. Smart scheduling systems will optimize calendars and automatically book showings based on client preferences. Contract review and paperwork can be automated using natural language processing and document comprehension technology. By minimizing repetitive manual work, AI systems enable brokers and agents to devote more time to developing relationships and advising clients.

Enhanced Market Analysis

Access to up-to-date market data is critical in real estate. In 2024, AI-driven apps will compile and analyze listings, sales, permits, and other information to generate deep insights into local market conditions, price trends and forecasts. This will support brokers and agents in pricing properties accurately and advising clients on ideal buying or selling timeframes. AI can also assess comparative market values and estimate costs like renovation expenses. By automating data gathering and analysis, AI equips real estate professionals with comprehensive, real-time market intelligence.

Improved Property Valuations

Automated valuation models (AVMs) have been used for years to estimate property values. However, AVMs will become more advanced and accurate in 2024. With computer vision and deep learning techniques, AI can analyze photos, videos, and floor plans to assess a home's characteristics and condition. This provides a more nuanced valuation beyond just square footage and location. AI will be able to value unique architectural features, renovations, and customizations more precisely. Although AVMs won't replace appraisers, they will become a useful supplementary tool for establishing pricing guidelines.

Personalized Recommendations

In 2024, expect AI algorithms to play a bigger role matching home buyers and sellers with the right real estate agents. By analyzing data like location, property type, lifestyle, and other preferences, AI can 'learn' what clients want. It can then recommend brokers or agents whose expertise, specializations, and past clientele best fit an individual's needs. This level of personalization improves alignment between clients and agents, leading to more successful engagements. It also allows brokers to efficiently route leads to the right representatives.

Predicting Buyer Interest

AI applied to big data on buyer behavior can help brokers and agents predict which properties a client will show interest in. This lets them be more targeted in selecting homes to show and recommend. AI-generated insights into factors that influence buyer decisions – e.g., distance to transit, school quality, walkability – also permits brokers and agents to emphasize the most appealing aspects of a listing. Making data-driven predictions about buyer preferences enables real estate professionals to be proactive rather than reactive.

Enhanced Listing Performance

In order to sell faster and at better prices, properties need maximum exposure and prominence. AI can help analyze listings' photos, descriptions, and amenities to determine which are most likely to catch buyers' eyes online. AI optimization of listings improves click-through rates and time on site. Boosting listings' visibility and engagement leads to increased showings and improved selling outcomes. AI audits of listings can also detect possible issues – for example, low-quality photos, lack of details, inaccurate facts – so brokers and agents can address them.

The innovations discussed above are just some of the ways AI technology will transform residential real estate in 2024. But it's important to remember the human touch will still be vital. Experienced brokers and agents provide critical services like pricing strategy, negotiation guidance, community/network knowledge and customer service. Rather than replacing these roles, AI will augment real estate professionals, allowing them to take their services to the next level. With the right embrace of AI tools, residential brokers and agents are positioned to provide greater value and meet customers' evolving needs in 2024.

About the writer: Subrao Shenoy is CEO of planetRE that hosts a variety of Generative AI Solutions for Real Estate (Aelo.AI and chocolatechips.ai). He has run a successful proptech company for over a decade with experience of automating millions of transactions across the nation. He also owns seminal patents in CRM, Property Search, and Blockchain /AI .