Since its debut in November, ChatGPT has disrupted the workflows of various industries, and real estate is no exception.
Some brokers are using artificial intelligence-powered chatbots to write property descriptions, answer housing law questions, and script videos. Platforms such as Redfin, ZIllow and Marketproof are already deploying plugins using bots developed by OpenAI.
“What are people talking about [ChatGPT] What can we do, what can we do, what can we do,” said Frederick Peters, president of Caldwell Bank Warburg.
But the technology “and what follows will have impacts we can’t even imagine,” says Peter, who has yet to see the notoriously cumbersome process that ChatGPT could transform. Said there was one.
New York City co-op buyers are already relying on chatbots to help with board package reference letters. Caldwell banker Warburg’s Dorothy Schrager said one of her clients received a sample reference letter from her and connected it to ChatGPT, adding additional information about herself to the chatbot. He said he instructed him to write a letter to
“I have received some wonderful letters that are very personal and capture exactly what he is about.
Some say chatbots can provide useful templates for buyers and their referees, but the writing lacks the tone and structure of a personal letter, making it too early to rely entirely on the technology. There is also
Co-op committees have very different expectations for letters and entire packages, and ChatGPT fails to capture the nuances.
“I often think of board packages as similar to college applications. said Deanna Corry, who was ranked as “Right now, people are the best people to put together a board application because they have the most information about what the board is looking for.”
To reach that level of functionality, chatbots will need additional data to augment their existing knowledge. ChatGPT is generally limited to information prior to 2021, and besides most of his co-op applications and board decisions on them are not readily available.
Incorporating chatbots into existing platforms like BoardPackager (an online portal where buyers submit applications and are accessed by board managers) has the potential to augment the technology needed for a higher level of assistance. I have. Previous applications may serve as data for the development of AI tools to assist in package assembly and review.
Compass’s Kimberly Jay sees an opportunity for tools that review buyers’ applications and offer suggestions for improvement, as well as allowing buyers to ask the accompanying chatbot questions about how to adapt the application to a particular substrate. said.
Meanwhile, the AI can also verify whether the buyer has included all the necessary information and whether the materials provided meet the board’s standards, especially when it comes to financial statements, Jay said.
But co-op boards are often hesitant to adopt new technology, Jay said. Most companies started using BoardPackager only when he couldn’t meet in person during the pandemic.
“I don’t know how quickly we can make this happen,” Jay said. “You need a fairly tech-savvy board to make this happen.”
But having artificial intelligence drive both the buy-side and board-side processes could change the nature and need of the application altogether, Peters said.
“What happens on the co-op board won’t change the world, but it will certainly affect the whole concept of personal letters and learning about people,” Peters said. “What is the point of the package now that he has an AI involved in both putting it together and reviewing it?”
As AI becomes more prevalent, Peters expressed concern that he believes the role of middlemen in the home-buying process will further decline.
“If people can find real estate on their own, and AI helpers can organize their financial statements and write letters to the co-op committee, I think there will still be a role for people who do the same as me. It probably will, it’s gone down a lot,” Peters said.
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But some say AI tools like ChatGPT have not advanced enough to replace brokers or significantly reduce their involvement in trading, nor will they do so in the future.
“I make great board packages, but I never led them thinking it was an added value for the buyer,” Jay said. “For most people, buying a property is the biggest purchase they’ll ever make, and having an expert opinion and knowledge and saving time can be invaluable.”
