How does ChatGPT affect the real estate market?

According to Ms. Duong Thuy Dung, CEO of CBRE Vietnam, it is currently impossible to assess the limits of this technology, but the benefits of ChatGPT are enormous. This is because, despite being in its early stages, ChatGPT can answer users' questions with high accuracy.

AI in the real estate market is no longer a new concept, but some large US corporations have already used AI in determining property values.

In Vietnam, for real estate brokerage services, ChatGPT can save time in gathering information and summarizing the market. Brokers can also use ChatGPT to reach new customer segments by understanding their needs. Without ChatGPT, a broker might spend several days, or even months, gathering the necessary information.

How does ChatGPT affect the real estate market? - 1 — ChatGPT is expected to greatly assist in real estate research and transactions. (Illustrative image)

Sharing the same view, Mr. Le Hoang Chau, Chairman of the Ho Chi Minh City Real Estate Association (HoREA), also mentioned ChatGPT as a powerful tool to support the issuance of land price lists.

Mr. Chau analyzed that Vietnam needs a national land price database using artificial intelligence (AI) and ChatGPT, updated in real time and connected to the population database according to Project 06, to be synchronized and unified with the national big data to support the issuance of land price tables.

He stated that with artificial intelligence, ChatGPT will replace humans in performing massive amounts of surveying, comparing, and cross-referencing data in an instant. The government can immediately know the average land price index in any given area, determined by the average of actual transaction prices of land of the same intended use that have been transferred on the market through statistics in a specific area and over a certain period. With the help of high technology, the government can control real estate and land prices 24/7 to develop policies or implement timely and effective solutions.

Mr. Tran Ngoc Van, a real estate broker in Hanoi , said that ChatGPT has greatly assisted him in writing advertisements for real estate properties, providing answers that exceeded his expectations. The more detailed his requirements, the better the advertisements this super-intelligent artificial intelligence tool generates.

For example, when asked to write an advertisement for a 60m2, two-bedroom apartment in Cau Giay District (Hanoi) using the PAS formula (a familiar formula in content marketing), this tool met the requirements very accurately in terms of form. The wording used in the article was very appropriate and exceeded expectations.

“ I’m not good at writing, so coming up with ideas for real estate advertisements takes a lot of time. But with ChatGPT, it only takes me a few seconds to create an advertisement, and after editing a few sentences, I can post it on any platform ,” Mr. Van shared.

However, experts also warn that ChatGPT is not without risks. Ms. Duong Thuy Dung analyzed that information and its accuracy are extremely important, especially in a sensitive market like real estate. A person can use ChatGPT to gather basic information, but to make insightful and in-depth assessments requires practical experience.

Furthermore, ChatGPT's aggregated database currently only contains information up to 2021. Therefore, ChatGPT's effectiveness for a time-dependent market like real estate may be minimal due to outdated market information.

Furthermore, relying on information from an AI like ChatGPT is dangerous and misguided because while AI is effective within its programmed scope, it's not without flaws and can even provide misleading information. Therefore, users need to be vigilant and have considerable experience to recognize loopholes and errors in the results; otherwise, these errors can lead to negative consequences.

Another point to note is that ChatGPT cannot be applied to specialized consulting services such as project development consulting or feasibility studies, as these services require specialized application tailored to each plot of land, each project, each location, and each product structure.

According to Mr. Giang Anh Tuan, Director of Tuan Anh Real Estate Exchange, ChatGPT's answers are based entirely on past data. Therefore, it cannot answer questions related to current or future real estate investment trends. Nor can it accurately answer questions related to market prices.

Chau Anh

Beneficial
Emotion
Creative
Unique
Wrath