Will AI Replace Real Estate Agents? 

One of our seller clients recently received an offer on their condo and, out of curiosity, they ran it through an AI tool to see what it would say. The results? Much to our surprise, it was detailed and thoughtful and not very far off from what we would have said. 

AI broke down buyer psychology, analyzed financing and contingencies, and even outlined multiple counteroffer strategies complete with projected net proceeds. It was thorough, logical, and honestly very helpful. If you had no other context, you might assume that a tool like this could easily replace a seasoned real estate agent. 

But here’s the catch: it can’t. (We're not just saying that to stay in our jobs...) 

What AI Can Do

Let’s give credit where it’s due. AI can:

• Quickly analyze offer terms and financial data
• Provide structured comparisons
• Suggest (surprisingly) reasonable counteroffer frameworks
• Outline timelines based on typical transaction milestones
• Draft sample messages or response templates

In short, AI can be a fantastic analytical tool. It’s like having a spreadsheet that talks back and helps you organize your thinking. But...

What AI Can’t Do

Real estate isn’t just about math. It’s about market nuance, people, timing, and negotiation. Among many things that no algorithm can fully grasp.

For instance:

• AI doesn’t know if a competing offer is likely to come in at the same time.
• It can’t tell you how the listing agent typically negotiates, or whether the buyers are stretching themselves and might walk away. It can't read between the lines. 
• It doesn’t recognize that a local lender’s name on the pre-approval might hold more weight than an out-of-state bank.
• And it certainly doesn’t have boots on the ground to assess how a condo compares to the one that just sold two doors down...with an inferior floorplan, on a less desirable side of a neighborhood, in a building with assessments or that needed work. 

AI might give you five pricing scenarios. A skilled agent tells you which one to pick and why. The agent has met the buyers, the buyer's agent, knows what might come up in a home inspection and have a proven strategy to negotiate. 

Real Estate Is Still a Human Business

Our clients appreciated the AI’s breakdown, and honestly so did we. It helped us frame our thinking and start the conversation. But ultimately, we tailored our counteroffer based on more than just what a machine suggested.

We could tell that the buyers were already emotionally invested in the neighborhood, their timing was more flexible than what they put on paper, and we knew they didn’t have another home to sell. We also understood where the market was trending, what other listings were on the market and coming soon to the neighborhood and how other recent offers had played out in similar situations.

Those are insights that don’t live in a database. They come from experience, conversations and a real understanding of people and what drives them.

Final Thoughts

Will AI change how we do real estate? Yes. It’s already enhancing how we analyze offers, draft language, and streamline processes.

Will it replace real estate agents? No. (At least not the good ones.)

Because behind every data point is a person. When you're making one of the biggest financial decisions of your life, you need more than the numbers and data. You need judgment, proven strategy, and a trusted human advocate.

The human element to real estate will continue to be paramount, but AI can help power tools, help smart agents work even smarter and help savvy sellers and buyers cut through the noise. 

We'll let AI join the team. But, we're still calling the plays!