Inside Real Estate – 30 October 2024: AI Implications for our industry & our people

It won’t have escaped anyone’s notice that AI technologies are constantly evolving to better analyse data, predict trends and automate routine tasks.

While the potential for AI has been building for decades, more recent advancements have moved it from the niche into the mainstream – opening up real opportunities for us to use it now to enhance decision making, improve customer service and supercharge operational efficiency.

Longer term, the strategic application of AI is also expected to reshape our traditional business models and potentially create new revenue streams for our businesses.

However, while some of us can’t wait to embrace new AI opportunities, others may be feeling a bit overwhelmed and unsure of where we’re headed.

JLL recently published some research on AI and its implications for the real estate industry.

The headline from this research is that while AI is seen by many as a game-changer, the understanding of its practical capabilities remains low.

Three of the key findings from this report on how AI may change real estate include:

AI has the power to transform how people live, work and play – over time
AI companies and supporting infrastructure will drive demand for real estate
AI will extend the technological transformation that PropTech started

As the real estate sector increasingly adopts new AI driven technologies, we should be mindful of both the opportunities for innovation, the possible challenges related to implementation and ethical considerations.

At REIP, we’re watching AI developments with keen interest, and wherever possible are including strategic automation and other AI into our industry run REIP Nexus CMA.

But if you’re also curious about what AI capabilities may be worth considering for your own agency, I’d encourage you to reach out to one our founding partners ListOnce. Their team are experts in all things automation, integrations (they have over 140!) and more recently AI innovation for the Australian real estate market. They can help you navigate a way forward with various options and trusted partners.

Finally, now is a good time to pause and consider the impact AI innovation can have not just on our businesses but also on our people. Some will be energised, but others may feel some anxiety around what technological change could mean for them.

McKinsey recently published some stats that serve as a good reminder for us as people leaders:

The average person spends 1/3 of their life at work
Up to $11.7 trillion in value can be created by improving employee health and wellbeing
75% of Gen Z look for mental health resources when considering a new employer

Whatever new technology and/or new ways of working we decide to adopt in the future, ensuring our people come on the journey with us will be fundamental to our success.

Until next time,

Stay connected.