AI tech takes aim at resi industry investors

Big data providers race to develop products to better match institutional investors with single-family home listings

TRD NATIONAL /
Sep.September 17, 2018 03:00 PM

Entera founder Martin Kay and single family homes (Credit: Entera and iStock)

The next big arms race in institutional residential investing may just involve artificial intelligence.

A handful of companies are developing ­big data technologies to help institutional investors find the homes they want and buy them in bulk, according to the Wall Street Journal.

That’s allowed their customers, like hedge funds and private equity investors, to scoop up more homes faster than ever before.

Firms including Entera Technology, Progress Residential and Amherst Residential each feed thousands of data points into their algorithms to find suitable investments for their institutional clients. That includes listing information like age of the property, the number of rooms and square footage.

Institutional investment in single-family real estate in particular spiked in the wake of the economic crash, which has made the market more competitive. Algorithms could help investors find yield where they may not have looked before.

Entera processes more sophisticated data like a home’s orientation and location of its kitchen, and the amount of light it receives during the day. The company’s computers can also scan listing photos to find images of a sunny kitchen based on similar photos they have fed into the machines.

It also scans data to see if a yoga studio or Starbucks — which could indicate a gentrifying neighborhood — has opened nearby recently.

Amherst’s technology can also project the cost of potential renovation work — based on jobs on similar properties — giving the investor a look ahead, according to the Journal. [WSJ] — Dennis Lynch 


Related Articles

arrow_forward_ios
Eric Gordon

Eric Gordon on the evolution of the residential data game — and how to stay competitive in the new world

Big Tech locations in NYC

MAP: Here’s a look at all the Big Tech locations in NYC

What will proptech look like in 2019 and beyond?

What will proptech look like in 2019 and beyond?

Actovia CEO Jonathan Ingber and CrediFi CEO Eli Razin (Credit: LinkedIn)

Loan data firm Actovia buys shuttered competitor CrediFi

Researchers and their “living concrete”

How “Living concrete” could revolutionize building construction on earth, and in space

Lightbox CEO Eric Frank and ClientLook CEO Michael Griffin (Credit: iStock)

Venture-backed Lightbox acquires broker software startup ClientLook

Kansas City (Credit: iStock)

Silicon Prairie could be the Silicon Valley of the 2020s

Michael Wang and Long Island City (Credit: iStock)

New “tech-driven” commercial brokerage coming to Queens

arrow_forward_ios
Loading...