Artificial intelligence has taken the real estate industry to new extents in terms of opportunities and optimized workflow. With AI-based solutions, real estate businesses are serving the customers exactly what they need and enhancing their brand value at the same time.
Online real estate platforms are common and aren’t going away anytime soon, but AI might be used to study data and assist executives. Market data analysis could be used to recommend properties to certain dealers. Client management may benefit from an investigation of client communications during the rental or purchasing process. Chatbots powered by artificial intelligence might also be used on your website to answer queries and offer personalized recommendations.
Artificial intelligence could also benefit manual and repetitive cycles, such as data transmission and presentation. These would not only free employees to work on more valuable projects, but AI in real estate would almost likely minimize errors and increase efficiency. Similarly, AI might be used to assess risk based on the firm’s specific criteria.
House Canary is one such AI-based real estate platform that has attracted huge popularity in recent years. Given the high success rate, entrepreneurs of the real-estate niche are more than interested in developing such platforms.
In this blog, we will learn about the development of an AI-based real estate platform like House Canary.
Let’s get started.
Table of Contents
What is House Canary?
House Canary can be described as a real-estate valuation platform that takes every factor into account to measure the exact valuation of a specific property. The company is based in San Francisco and has been active since 2013.
While buying a property, one considers so many factors, such as the locality, the condition of the property, security, resale value, and much more. House Canary evaluates the property from every angle with the help of AI and delivers a 2.5 percent margin on the sales value.
Users of this platform have stated that they get an accurate valuation as compared to any other method of property valuation. House Canary uses a variety of data sources to research the exact valuation, such as county assessor information, MLS listings, and consumer, regional, and behavioral indicators.
House Canary not only gives you a detailed report, but it also provides you a three-year forecast on the valuation along with sale history and the similar or better properties in the vicinity. Most people don’t have any idea about these metrics and how they will affect their investments; that’s where House Canary comes into the picture.
Working of House Canary
The working process of the House Canary platform is purely based on artificial intelligence and machine learning. It analyzes the data of various properties in a locality based on verified sources such as government records, MLS listings, and more.
After comparing the data, the value report feature of House canary predicts the forecast for the next few years and simultaneously compares other properties in the area for a better customer experience.
Let’s dig deep into the mechanism of this AI-based real estate platform. It evaluates a property based on two parameters and various sub-parameters. The primary parameters are home value and context.
Home value describes the property’s current value based on the current market conditions. The context is calculated based on the property’s condition, the locality conditions, ratings, and the previous home’s value sold in that area.
The algorithm of House Canary works like clockwork. It starts with the market data that states the current, past, and future predictions of the property value based on the market research. Then comes the historical data that tells the history of sales of that particular property.
The next in line is the sales and home history that tell any addition or deductions in the property’s design that may affect its value. Then comes the AI and Machine learning algorithms that combine every piece of data and deduce a significant prediction. And at last, we have the final results or the exact range of a property.
How Can You Develop an AI-based Real Estate Platform Like House Canary?
Developing an AI-based Real Estate platform like House Canary might be a difficult task, despite being a compelling idea. You can, however, successfully complete your House Canary platform development process with effective statistical research, brainstorming, and implementation. The most important step in developing an AI-based real estate platform is to collect data on the subject. It usually revolves around current market trends, competitors, and client expectations.
It’s best to hire a skilled market research team dedicated to identifying your competitors, their systems, adaptability models, market patterns, and the niche’s prospects. These pieces of information will assist you in creating a powerful guideline. You can easily help the process if you have a convincing description of your project. Market research should not be tedious for your in-house team, or you can hire a marketing research agency for specific outcomes. You can also evaluate the financial strategy for this project with your team, as this will be a variable component in this development cycle.
1. Plan Every Step of the Development Process
Planning is a crucial component of any business venture in any sector. There are a lot of steps to develop a detailed project that suits your business requirements. Regardless, we should focus on the most important ones. Begin with the previously mentioned marketing research, and ensure it includes a few unique points, including competitors, techniques, strategy, audience thoughts, market patterns, etc.
Since we are following House Canary, you should take some lessons from its marketing strategies and the plan of action. Ask your development partner to consider developing an app separate from the web platform. Developing an AI-based real estate app may be costly, depending on your requirements, so it’s important to discuss the same before proceeding forward.
Technologies to be Considered
Creating an AI-based real estate platform like House Canary that evaluates every aspect of a property requires a great deal of technology for a variety of reasons. Platforms, outsider APIs, updated data sets, and other technologies are available on the market that can be used for AI-based platform development. Here are some of the technologies that should be considered when creating a real estate platform like House Canary.
|Application and Data
|Gmail and G Suite
Features to be Considered
Any AI-based development is filled to the brim with features that cater to a variety of requirements. However, some of these features are common in every real estate platform development, such as registration, which requires clients to fill out a form with basic information, a client profile, which a client can choose to renew, and so on. Here are a few of the most important features to consider while developing an AI-based real estate platform like House Canary.
Allows users and admins to efficiently manage all the contacts related to the sale of the property from brokers, owners, builders, and more. Users can contact them directly when they need them in any case.
This allows admins and businesses to get detailed descriptions of the lead to take the proposal ahead and convert that prospect into a paying customer.
With the help of artificial intelligence and machine learning, the platform fetches exact real-time market data in the form of charts for easy understanding and further evaluation.
Allow admins or businesses to present every detail of a property in terms of condition, value difference, and more in detail.
Allow users and businesses to get exact forecasting of the price of a property based on the market data and AI/ML algorithms.
Allow businesses to generate a result-oriented proposal for a property based on the details gathered by the AI/ML engine in the platform.
Ways to Monetize Your AI-based Real Estate Platform
When you invest a lot into some project, it’s more than natural to expect a good payback in return. Your project should generate a decent amount of revenue that helps in serving the great cause for which you are building the platform. There are a number of different approaches you may use to make a lot of money from your project; here are a few of the most common ones used by top real estate businesses.
You can usually offer a membership to use the service, which gives the clients a sense of dependability. Plan your designs to fit your clients’ budgets. Attempt to implement a medium option between the small and large memberships.
Since we’re using House Canary as an example, you’ve obviously noticed that they charge a fee to their listing partners on each sale. Without a doubt, you can perform something similar.
Provide customers with a few premium features that they will want to use. You can give out a lesser version of a feature for free while charging for the higher-level version. You can also include a distinctive feature, particularly for the same reason.
Platforms to Consider
iOS and Android are two well-known flexible app working frameworks; you’ll need separate applications for each. If you want your real estate app to work on both of these platforms, you’ll need to create two different apps to achieve this. It simply translates to double the work, twice the cost, and thrice the app’s maintenance and support. Here are some of the top platforms types you can use for your AI-based real estate platform development.
Now that you have learned about the features, functionalities, and technology stack that will be implemented in your AI-based real estate platform development at this point. You currently need a real estate development company that can turn your designs to life to manage this.
When hiring a development team, you typically have two options. You may either hire an independent team that will bill you hourly, or you can choose a reputable AI app development company that will provide you with a great experience. Before hiring a company, make sure they understand the niche and have produced a few high-quality things in a related industry.
In any case, you will require a set of people to develop your project. The team members will include:
- Graphic Designer
- Project Manager
- Testing Engineer
- QA Engineer
- Business Analysts
How Can Matellio Help You in Developing an AI-based Real Estate Platform?
Building an AI-based real estate platform like House canary can be tedious, but it’s also full of numerous opportunities. Apart from that, you’ll need a highly skilled web development team, which is where Matellio comes into the picture. Our team of skilled real estate platform developers is extraordinarily skilled and experienced. Our team of dedicated designers and specialists has extensive experience in the real estate market and is well-versed in the latest technological innovations.
We’ve developed a number of real estate business platforms and apps that our clients find extremely efficient. With our extensive experience, we can turn your dream of a real estate platform like House Canary into a reality. We are referred to as the leading AI development company. We offer the shortest turnaround time compared to any other real estate development company.
Get in touch with our experts over a 30-min free consultation call to start immediately!