Ep. 279: How AI Is Giving Agents a Much-Needed Edge (with Brad McDaniel)

Newer Technologies Help Agents to Find Better Leads Faster

Who should listen: Real estate agents who need a way to become more efficient in finding leads that are practically guaranteed to convert.

Key idea: Whoever owns the relationship wins the client.

Action items: 1) Check out the data available to you from Likely.AI; 2) Reach out to the people in your database and ask if you can be of help.

Here’s an interesting contrast in opinions.

According to a study reported by UpNest and conducted by researchers at the University of Oxford, real estate sales agents are in jeopardy of losing their jobs to advances in technology and artificial intelligence. While the researchers acknowledge there are parts of the home transaction that continue to benefit from the expertise of a professional agent, they also point out that there are significant activities that already happen without an agent’s input:

  • home searches,
  • home value estimates,
  • property showings, and
  • researching neighborhoods.

On the other hand, there is the opinion of this week’s Stay Paid guest, Brad McDaniel.

Brad is the founder of Likely.AI, a company that helps real estate agents find their next leads. Brad and his team harness the power of artificial intelligence, machine learning, and predictive analytics to provide agents with leads that have a high likelihood of moving—and the results they produce are remarkably accurate.

Brad believes that, rather than putting agents out of work, the kind of AI-produced reports he provides will save agents’ jobs by making their search for leads more effective. The real threat, he says, are the few companies like Redfin and Zillow that have all the traffic and whose leaders may decide to direct that traffic to one or two channels and leave everyone else in the lurch. (Brad shares some compelling math to show just how easy it would be for these companies to leave 97% of the industry behind.)

Where UpNest and Brad agree, however, is equally interesting. And, no surprise to us, it’s what we’ve been preaching since we opened the doors at ReminderMedia.

UpNest suggests four strategies for agents who want to remain relevant and employed:

  • Agents ought to be fast to adopt and integrate new technology.
  • Agents should find ways to increase volume to counteract pressures to reduce commissions.
  • Agents need to explicitly lower the cost of acquiring new clients and their operating expenses to increase profits.
  • Agents must focus on personal service and delivering an exceptional client experience.

Brad showcases his products as a way agents can meet the first three of these imperatives. As for the fourth imperative, Brad couldn’t agree more.

He says agents should be building and using their databases as an asset and that there are leads within it if you know how to pull them out. (Check out the free Database REfresh report listed below that can help.) He also suggests one of our favorite tactics, the F.O.R.D. method, to build the relationships you need to succeed.

There’s no denying that technology has, and will continue to have, a monumental impact on the real estate industry. But that doesn’t mean the more than 1.5 million agents in the US need to start looking for new careers. What it does mean is they’ll need to find ways to adapt to rapidly changing conditions, including embracing new technologies.

Please enjoy this episode, and we’d appreciate it if you would give us a five-star rating and tell us what you think about this episode by leaving a comment on Apple Podcasts. (Not sure how to leave a review? Click here.)


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