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ChatGPT: Since its inception, artificial intelligence (AI) has been heralded as the greatest asset that would revolutionize labor.
ChatGPT has established a reputation for its writing services due to the volume of people who utilize it for duties relating to their employment and education.
With regards to online listings, AI has shown to be a useful tool in the real estate industry.
The convenience
JJ Johannes, a realtor from Cedar Rapids, Iowa, drew a stunning illustration 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 more than one 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 the AI’s deployment in late November, several realtors, like JJ Johannes, have begun using it.
Commercial and residential agents hailed the experience as groundbreaking for their line of work and said it aided them in posting properties, legal papers, and updates on social media.
Additionally, ChatGPT was used to automate time-consuming operations like doing difficult calculations and having to respond to frequently asked questions.
The AI
A tool called ChatGPT maintains enormous amounts of web information in order to reply to client inquiries as fast as possible.
So far, these activities have been used with it:
- Original essays
- Stories
- Song lyrics
- Research paper abstracts
Additionally, ChatGPT manages email composition and accounting.
The use of the AI to pass an exam at an Ivy League university prompted concerns about its dependability and the potential for exam cheating.
Impact
Since ChatGPT’s debut in November, a number of sectors have expressed concern about its possible flaws.
However, it has already had a major effect on real estate agents’ regular business operations across the country.
Many more people have stated that they are unable to function 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 an email from a client who had recently moved into a property that was still under construction and was having trouble opening the windows.
For months, she made contact with him but never heard back.
The broker then made edits to one of her emails to highlight issues with the AI’s capabilities.
“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 generate legal documents like addenda and sent them to attorneys for assessment.
“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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Paywall
While ChatGPT is free to use, its parent company OpenAI reportedly wants to charge a $42 monthly subscription.
Andres Asion stated 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 highlighted how it has impacted his company, and he is prepared to pay.
“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 searches the Miami-Dade County area for applications that have been accepted for certain lots and zones using artificial intelligence.
He also uses algorithms and mortgage calculators to determine the optimal mortgage payments or return on investment 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 one of the best technologies now in use, it still has a variety of flaws.
For instance, the tool had trouble with simple math in the past.
Trelles argues that it is only good for straightforward, rapid computations and is useless for achieving correct answers.
According to Serge Reda of the Fordham Real Estate Institute, certain people could be more equipped to use ChatGPT than others.
Additionally, the usage of AI has allowed brokers to create listings and responses more quickly.
Due to the necessity for a personalized experience in lead generation and transaction closing, automation of client responses is rarely the optimal approach.
“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 relying on ChatGPT even if other real estate-related applications have previously employed AI.
Zillow, for instance, uses AI to make floor designs and do 3D mapping.
In order to ensure that price estimates accurately reflect the state of the market, the Zestimate tool employed artificial intelligence (AI) to analyze photos and identify if certain properties included stainless steel appliances or hardwood floors.
Thanks to Zillow, prospective buyers may now do research using natural language and artificial intelligence.
Other businesses respond more swiftly than the real estate sector, said Zillow’s Matt Kreamer.
But he also notices a great deal more alterations happening.
According to Kreamer, if agents utilize ChatGPT to streamline processes and save time, Zillow is not overly concerned.
“We aren’t promoting or wary of ChatGPT but are interested in how it’s being used and watching it,” said Kreamer.
It is still too early to say if AI will become mainstream in the real estate market, despite JJ Johannes’ belief that the technology has the ability to profoundly disrupt many other industries.
“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.
Opinions expressed by US Insider contributors are their own.
