Despite all the technological advancements and tools, how come brokers are still the main ingredient in most the real estate transactions?
Despite all the technological advancements and tools, how come brokers are still the main ingredient in most real estate transactions?
Because it is a person to person interaction, a computer can not tell there are encroachment/ ROW / Title issues. A computer can’t see your reactions to different properties and then refine the search to find the best options for you. A computer can’t get it inspected and then fight hard for every dollar in repair costs. A computer has no personality or concern to sway you away from flooded basements, leaking roofs, rotting fascia….
AI and computers are good at making info available, but those are just tools.
I firmly believe that real estate transactions cannot be done without a real estate broker ( almost 98%).
The reason is simple. If a buyer and a seller try to negotiate directly, at some stage, their EGO will clash, and the deal will never happen. Technology ( listing sites ) can help us in shortlisting the properties. Still, when we finally need to negotiate, we will need somebody who can handle the ego of both sides and of course, a Broker will process the documentation and complete the procedure of transfer. This applies to all types of industries.
Real estate agents have good knowledge and information about the properties and services nearby, which cannot be replaced by an AI. The emotional connectivity each has with a transaction makes it a more compelling reason for their requirements. However, companies are trying to remove brokers like Flats, Houses, Apartments for Rent, Buy, Sell Without Brokerage in India, and there are companies who are trying to uplift the brokers like 99acres.com. There are websites that support them as well as give an individual choice between brokerage and no brokerage