Artificial intelligence has infiltrated almost every industry at this point, although the majority of public-facing applications seem to revolve around various forms of image recognition and natural language processing. All of these applications, of course, involve processing vast amounts of data, and that power can be harnessed for all sorts of purposes. In the case of real estate tech company SetSchedule, artificial intelligence is pressed into service to better understand local housing markets.
The Importance of Lead Generation
Like any sales-based industry, leads are important for real estate agents. In order to remain in business, they need a steady supply of potential home buyers, and properties to show those buyers. Each buyer has a different need: a home for a growing family, an investment property for a budding entrepreneur, a cozy retirement bungalow for an ageing couple. Most buyers will want to see multiple properties before making a decision, especially since there’s no guarantee they’ll put the winning bid on a home that they like, so it’s important for an agent to have a good inventory to show.
Generating leads can be a challenge, a challenge that SetSchedule attempts to solve with the power of artificial intelligence. By analyzing a variety of market data factors, including the overall housing market, the performance of specific neighbourhoods, and the history of individual properties, the algorithm can identify which homes are likely to go on the market and their potential value.
Real estate agents can browse the leads on offer, and choose the ones that best suit the needs of their market niche. They can focus on family-friendly neighbourhoods, or up-and-coming areas with strong investment potential, or retirement communities, depending on the needs of their customers.
Why SetSchedule Uses AI and Machine Learning
Market analysis is a specialized skillset often performed by highly-paid humans. In order to perform the sort of analysis that SetSchedule provides, a human would have to take the time to access and review a variety of records. They could likely come to the same conclusion that the algorithm does, but it would take them a lot more time. It simply would not be financially feasible for a real estate agency to pay someone to perform that level of analysis on each individual property or to attempt to do it themselves.
In the past, agents have relied on methods such as word of mouth and direct advertising in order to find people who are ready to sell their homes. These methods do work, but they may not be driving enough leads, especially in a seller’s market where there are more potential buyers than available homes. Agents have to be proactive and fast on the ball in order to score the best leads to connect would-be buyers with ideal properties.
Just like a human, the SetSchedule machine learning algorithm is able to adapt to changes in the market, learning new data and adjusting its predictions accordingly. The leads which are generated by the artificial intelligence can then be put to use by human agents, who can determine the best strategy to convince each individual seller to agree to work with them to sell their home.
This is just one of the many exciting applications of artificial intelligence and machine learning being used today. More are being developed every day, and are sure to revolutionize multiple industries.