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A chatbot that changes the world: ChatGPT and the real estate industry

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ChatGPT - what is it all about?

Behind the name ChatGPT lies an AI chatbot that responds to user requests with individually created answers. The application's special feature is its ability to respond to subsequent questions, enabling users to have a real conversation with the AI. It is based on the artificial intelligence technology of Deep Learning, which allows it to respond to natural language. The chatbot was developed by the company OpenAI and uses machine learning to generate different answers that fit the context of the query. The chatbot can be programmed to respond to a query in various ways, such as by providing simple or knowledge-based answers. Since this is a speech and text-based tool, it is particularly well-suited for dialogue-oriented uses. The application learns from conversations, can present complex issues in an understandable way, and can write poems, fiction, or messages. To acquire this ability, the chatbot was trained with a variety of texts from the internet, including social networks, newspaper articles, books, and online forums. Recently, a new GPT-4 variant of the bot has been released as a test version, raising the question: What is the difference between GPT-3 and GPT-4? While the previous version mainly evaluated texts, the new version can also evaluate images. In addition, it is able to process texts of up to 25,000 characters and is also supposed to be more creative when generating texts as well as being able to more reliably identify false information.

The basic version of the programme can still be used free of charge

Limitations and dangers

Despite their high level of development, chatbots, like all technologies, also have their limitations. For example, the ChatGPT API is not capable of applying a level of creativity and intelligence comparable to that of a human. It responds to requests based on available information, and in some cases, this can lead to unexpected or unusual answers that are not helpful to the questioner. In addition, the bot always draws on an existing knowledge base, regardless of its completeness or accuracy. Thus, the chatbot may provide incorrect or irrelevant information because the application can only be as good as the database on which it creates its answers.

One of the disadvantages of ChatGPT is that users should be cautious about the veracity of the information it provides. Alternatives to ChatGPT are also subject to similar limitations. Additionally, there are some other potential dangers of ChatGPT, as its increased use can lead to job losses, especially in the customer service sector, as human labor is increasingly replaced by AI. Furthermore, although ChatGPT can be used in German, the majority of texts found on the internet are written in English. This means that cultural characteristics and peculiarities may not be taken into account enough. Nevertheless, it should be noted that the potential and opportunities of AI-based chatbots are enormous.

AI in the real estate industry: potentials

AI-based tools offer various opportunities in the real estate industry to automate marketing and sales processes, making communication more efficient, faster, and cheaper.

Automated Customer Communication

Many digital shops and service providers already use chatbots to communicate with website visitors. In the real estate industry, AI applications are increasingly being used for customer contacts, as these applications can access data on specific properties and collect information on complete portfolios. Thanks to their learning abilities, they can engage in informed dialogues and comprehensively process requests.

Creation of Offers and Contracts

The configuration and creation of offers and contract documents can also be implemented through AI with great time savings. However, due to the complex legal requirements in the real estate sector, good collaboration between human workers and the use of AI is essential.

Analysis of Data

AI-based applications can examine large amounts of data in significantly less time. AI tools support data sifting, document review, and assessment of opportunities and risks in specific transactions.

Creating Exposés

AI can create data-based exposés with just a few clicks, saving agents a lot of time that can be invested in customer care and marketing properties. At the end of the process, a human worker checks the information for accuracy and completeness.

Translations of Existing Texts

AI tools are especially useful in international transactions, providing efficient solutions for translating texts from other languages. This shortens communication time, benefiting both the agent and the real estate client.

Written by:

Stefanie Aust, Gastautorin

Stefanie loves to put complex topics from the real estate world into understandable and inspiring words. Whether it's about the right financing, choosing the right type of flat, or a successful property search: Stefanie is happy to inform you.

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