Artificial intelligence and machine learning will power the digital transformation of real estate
Jenny Arden, Chief Design Officer, Zillow
Jenny Arden, Chief Design Officer, Zillow
Generative AI is the topic du jour and for good reason. The recent explosion of new generative tools that are fun and powerful is bringing the AI conversation to the forefront. But generative AI is just one application of this tech. In reality, AI has been around for decades, transforming industries and improving customer experiences in many impactful, though less obvious, ways. And the biggest strides are yet to come.
Real estate, for example, does not yet utilize the full potential of technology. It’s a complicated and antiquated industry with layers of outdated rules and practices, making it challenging to combine all the pieces. But constant artificial intelligence and machine learning advancements will transform real estate technology. In 2006, when Zillow launched the Zestimate® home valuation model to make real estate more transparent, it was revolutionary. And it continues to evolve. But what people need — and what Zillow is creating — are ways to more quickly and easily find a dream home they can afford.
For the first time in real estate, AI is also powering smarter, easier ways to search for homes. Zillow recently launched a natural language search, which can interpret colloquial lingo. Now, instead of checking boxes and selecting filters, home shoppers on Zillow can search as if they are talking with a friend or agent. While natural language search isn’t the pinnacle of what we’re trying to achieve through AI or novel for the tech industry as a whole, it is a real estate industry first.
And by allowing people to search for a home using words they would use with their agent or a friend, we are taking an important step to make real estate more accessible and allow all communities the ability to engage with technology.
Going beyond searching, Zillow has an opportunity to help people find great homes they either didn’t know how to find on their own or would have taken a lot of hunting around to discover. AI-driven personalization can put a shopper’s dream home right in front of them. Powered by machine learning models, features like saved and “hide homes" learn about buyers' preferences as they consider each listing to create a more personalized experience, then highlight homes they haven’t seen yet that they’ll likely love.
For the first time in real estate, AI is also powering smarter, easier ways to search for homes. Zillow recently launched a natural language search, which can interpret colloquial lingo
And lastly, AI is also changing the way shoppers tour homes. AI-powered interactive floor plans, powered by 360-degree photos captured by Zillow and then stitched together to build an immersive touring experience, are a remarkable leap forward for buyers trying to understand what a home feels like before they tour in person. What’s more, the technology automatically creates an accurate floor plan, allowing a shopper to get a real sense of the layout, size, and scale of a home from their phone or computer. This has the power to save many hours of agents' and home shoppers’ time to confidently narrow down and tour only the best options instead of driving to and touring homes they could have ruled out from their couches. The goal, of course, is for this to become an industry standard, but it won’t stop there. Imagine a world where an online listing could show you lighting inside a home throughout the day or replicate the sounds you might hear. What if AI could show you your own furniture in the house or dress up rooms in your preferred interior style? The possibilities are endless and immensely exciting for shoppers embarking on what is likely the most important financial decision in their lives. Anything we can do to help shoppers visualize their future life in space will bring them one step closer to being confident they’ve found the right home for them.
While generative AI technology is in its infancy, AI as a whole has the power to unlock the future of real estate, with Zillow at the forefront of the transformation. AI will play a key part in delivering practical value to our customers by knowing what home shoppers want and responding with a solution that feels closer to how people think and talk about their next home. And with a super housing app to make the process easier, Zillow will streamline the transaction and get more people into a home they love.
