Economic Analysis of the Real Estate Market Using Artificial Intelligence
DOI:
https://doi.org/10.63053/ijmea.41Keywords:
Artificial Intelligence, Real Estate Economics, Predictive Analytics, Machine Learning, Property ValuationAbstract
This article examines the transformative role of artificial intelligence (AI) in the economic analysis of the real estate market, spanning valuation, financing, development, tenant management, and beyond. Leveraging machine learning, predictive analytics, and big data, AI enhances precision in pricing, risk assessment, and market forecasting, yielding economic benefits such as reduced transaction costs, increased rental yields, and improved investment returns. The study highlights efficiency gains—e.g., 18% cost reductions in operations and 15% higher mortgage originations—while addressing challenges like data quality, implementation costs, and ethical risks including algorithmic bias. Across 20 distinct applications, AI fosters market stability, liquidity, and sustainability, yet its scalability hinges on standardized frameworks and equitable access
References
AppFolio. (2024). AI-Powered Property Management: Efficiency Gains in Tenant Services. AppFolio Research Report.
Autodesk. (2024). Generative Design and Sustainable Construction: A Real Estate Perspective. Autodesk White Paper.
CBRE. (2024). The Economic Impact of AI in Property Maintenance and Sustainability. CBRE Market Insights.
Chen, J., & Liu, Q. (2023). Tax Assessment Accuracy and Market Stability: The Role of AI. Journal of Public Economics, 215, 104-120.
ComplyAdvantage. (2023). AI in Regulatory Compliance: Enhancing Real Estate Governance. ComplyAdvantage Technical Report.
CoreLogic. (2023). Automated Valuation Models: Precision in Property Pricing. CoreLogic Industry Analysis.
Darktrace. (2023). AI-Driven Cybersecurity in Real Estate: Threat Detection Metrics. Darktrace Annual Report.
Deloitte Insights. (2024). AI in Real Estate: Economic Benefits and Implementation Costs. Deloitte Research Publication.
DocuSign. (2023). AI Insight: Transforming Real Estate Transactions. DocuSign Case Study.
Federal Reserve Bank. (2023). AI in Credit Risk Assessment: Implications for Housing Finance. Federal Reserve Working Paper.
Glaeser, E. L., et al. (2022). Machine Learning in Real Estate Forecasting: A Comparative Study. MIT Economic Review, 89(3), 45-62.
Google. (2023). DeepMind in Building Management: Energy Optimization Results. Google Sustainability Report.
Harding, J. P., & Rosenthal, S. S. (2023). AI-Driven Market Segmentation and Price Growth. American Economic Review, 113(6), 1789-1812.
Kasyanau, A. (2024). The AI Revolution in Real Estate: Market Size and Growth Trends. Forbes, January 15, 2024.
Kim, H., & Lee, S. (2024). AI Risk Management and Market Volatility: Evidence from 2022-2023. International Journal of Housing Markets and Analysis, 17(2), 89-105.
Lee, K., & Sharma, R. (2024). AI in Compliance and Investment Flows: Real Estate Case Studies. Journal of Economic Regulation, 15(1), 33-49.
Li, Y., & Chen, X. (2022). AI-Augmented AVMs in Volatile Markets. Journal of Property Research, 39(4), 321-340.
Matterport. (2024). Virtual Staging and Sales Performance: AI Impacts. Matterport Market Report.
McKinsey & Company. (2024). AI in Real Estate Investment and Development: Economic Outcomes. McKinsey Global Institute.
Moody’s Analytics. (2024). AI Forecasting in Housing Markets: Accuracy Metrics. Moody’s Research Note.
National Association of Realtors (NAR). (2023). AI in Real Estate Marketing: Conversion and Cost Analysis. NAR Annual Report.
National Association of Realtors (NAR). (2024). Segmentation Precision Through AI: Market Impacts. NAR Research Brief.
Nguyen, T., & Patel, S. (2023). AI in Transaction Efficiency and Market Turnover. Journal of Financial Economics, 141(2), 567-584.
Nguyen, T., & Patel, S. (2023). Sustainable Real Estate and Economic Premiums. Journal of Sustainable Real Estate, 15(1), 23-39.
Obermeyer, Z., et al. (2019). Dissecting Racial Bias in Algorithmic Decision-Making. Science, 366(6464), 447-453.
Patel, R., & Zhou, L. (2024). AI in Financing and Insurance: Market Liquidity Effects. Journal of Banking & Finance, 158, 106-123.
PwC. (2024). AI in Real Estate Transactions and Compliance: Cost-Benefit Analysis. PwC Industry Outlook.
RentCafe. (2023). AI Tenant Screening: Reducing Turnover Metrics. RentCafe Performance Report.
Rocket Companies. (2023). Automated Underwriting: Efficiency in Mortgage Processing. Rocket Mortgage Annual Review.
SAS Institute. (2023). AI in Property Tax Assessment: Precision and Scalability. SAS Technical Paper.
Smith, J., & Huang, K. (2023). AI Pricing Models and Rental Yields. Journal of Real Estate Finance and Economics, 66(3), 412-430.
Statistics Canada. (2024). AI in Development and GDP Contributions: Toronto Case Study. Statistics Canada Economic Brief.
Swiss Re. (2024). AI in Insurance Underwriting: Risk Pricing Accuracy. Swiss Re Global Report.
Tan, C. (2024). AI Taxation and Revenue Optimization: Singapore’s Experience. Asia-Pacific Economic Review, 29(1), 55-71.
Tanaka, M., & Kim, Y. (2023). AI Maintenance and Depreciation Rates in Competitive Markets. Journal of Real Estate Research, 45(2), 189-207.
Turner, R., et al. (2023). Data Quality Challenges in AI Real Estate Models. Urban Institute Policy Paper.
Upstart. (2023). AI Lending Models: Expanding Credit Access. Upstart Impact Report.
Urban Land Institute (ULI). (2023). AI in Property Development: Efficiency and Profitability Gains. ULI Research Publication.
Zhang, L., & Gupta, A. (2023). AI in Portfolio Management: Cost Reduction Strategies. Journal of Portfolio Management, 49(5), 78-94.
Zillow Research. (2023). Zestimate: AI in Home Valuation Accuracy. Zillow Technical Report.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 Authors
This work is licensed under a Creative Commons Attribution 4.0 International License.
