It’s no secret that finding a new home can be a time consuming and frustrating process, even if it’s not your first rodeo.
And in this era, upwards of ninety percent of prospective buyers go online first and perform an average of 11 searches before even engaging with an agent or broker.
MiHuus is a new local startup that wants to capitalize on these trends by using artificial intelligence to develop a model of buyer sentiment using social and public data that automates the discovery of that perfect property.
Founder Darron Dickinson formulated the notion after reading about how IBM Watson was transforming healthcare and thinking in ways to apply coginitive computing to financial transactions — an area he’s operated in for over 20 years.
“I know there’s a better way out there for the transaction of residential real estate in this country,” Dickinson says. “The agent model is outdated…not entirely, but certainly not necessary to the degree and cost that we’ve come to accept.”
MiHuus uses an individuals Facebook social graph combined with 1000’s of known attributes such as community statistics, crime data, school rankings, economics, neighborhood attributes, and local businesses to create a ranking of neighborhoods that would be an ideal fit for the buyer(s).
It spits out a selection of potential properties based on the personality and preferences of the user via ListHub data, and will adjust these duture matches based on machine learning feedback.
On the flip side, MiHuus is headsdown modeling neighborhood by neighborhood at the street level and assigning certain personalities to certain homes based on their features (or lack thereof).
This is especially valuable for approximately 1 million people annually who are relocating inter-state where they may not be familiar with the new area.
MiHuus is certainly in the early stages of what will be a long journey, with no revenues yet and maybe 100 early adopters testing out the system so far. But think about the future, in 3-5-10 years: how likely is it that real estate agents and brokers will continue to earn $66 billion in annual commissions on what could feasibly become an entirely automated process?
How about that $26b annual marketing spend?
That’s the multi billion dollar question that Dickinson is seeking to answer with MiHuus — how AI and related technological advancements will flatten real estates current economic and time related inefficiencies. This industry is inevitably going to experience some major suppression, it’s just a question of from whom and when.
MiHuus is homegrown and rolling out now in select Minnesota counties, currently including Anoka and parts of Hennepin in the Twin Cities area.
“My mission is to make real estate transactions as simple and affordable as possible,” Dickinson concludes. “In the future, people will find, buy, and sell their homes without much if any human involvement.”