By Alice Dunn | Bricksave
May 15, 2024
News > Blog Article > Introducing Bricksave’s powerful new property sourcing …
We’re excited to tell you about our newly-developed property sourcing AI software that we think will be a game-changer for investors in the real estate industry.
Everywhere you look, digital technology – and the adoption of innovative digital tools such as artificial intelligence (AI) – has changed the way people think about acquiring and owning assets, especially those that used to be considered too expensive or too hard to acquire and manage. Real estate is a great example of an asset class that can now be accessed thanks to digital technology. It gives investors the benefit of owning a highly desirable asset class they previously wouldn’t have been able to acquire and gives them the liquidity they need to make ‘bricks and mortar’ a viable investment.
However, one of the greatest challenges with investing in real estate is knowing how to find and acquire properties that make good investments. That knowledge depends on having access to reams of important data that ensures the buyer is making well-informed decisions. That information needs to be accurate, verifiable and updated each time a property comes on the market. It also needs to cover not only the property itself but evaluate the surrounding location, including its local communities and amenities, and allow for meaningful comparisons between other similar properties elsewhere.
At Bricksave, we carry out property research in three areas: market intelligence, neighbourhood analysis and with lead sourcing (in other words, finding new properties coming onto the market). Until the introduction of AI, this type of information was highly localised and only available in pockets. But here at Bricksave we’ve developed our own in-house AI software that solves the information access problem and maximises the investment potential of the real estate sector.
The software uses a sophisticated machine learning algorithm built internally, that gathers critical information from a variety of sources. It gathers information relating to every property in any chosen local property market in the US that comes onto the market, and can then quickly identify which properties are most likely to be good investments, based on the criteria we specify.
Overall, the tool can access 2 million data points. The information gathered includes data on the people who live in a particular area, the types of properties that are available, the economic conditions of the area, and local crime rates. This information is collected primarily through a strategic partnership with the Multiple Listing Service (MLS). The MLS is a regulated platform that is a cornerstone of the real estate system in the US. It's essentially a giant shared database of properties for sale, managed by regional organisations of American real estate brokers. All information on the platform is reliable, and is constantly updated by agents to reflect changes in property status or details. However, the MLS is a private database only available to real estate professionals. Therefore, having access to this information with our AI tool gives Bricksave and our investors a clear advantage.
The data fed into the tool also comes from other reliable databases such as the US Census Bureau, the Federal Bureau of Investigations, and ATTOM Data, which is a leading provider of nationwide property data for the US. This data is then analysed and identifies in a few minutes the best investment options within each market, collecting 275 market points per property, covering variables such as sales and rental history, maintenance, vacancies, insurance, and legal aspects. The system is fully automated and updated every day or when a new property comes onto the market.
Really, what the tool tries to do is help us to comprehensively assess the risk of each property on our platform. As a result, we can help ensure that real estate investment is based on as much data-driven information as possible, not based on conversations with a real estate agent or on historic – and possibly out-of-date or misleading – information.
It gives us access to precise and real-time information, giving us a competitive advantage over other real estate investment providers. It also means we can define our own parameters within the system, based on our knowledge of important metrics such as capital expenditure (CapEx), operating expenditure (OpEx), fees, reserves and underwriting, for example. The tool only alerts us to those properties that are highly likely to deliver the percentage net returns we want to target.
Feel the power of Bricksave's new property sourcing tool. Start investing today.
Investors can be confident that every property listed on the Bricksave website has undergone rigorous analysis, using thousands of verified data points, and identified as a highly desirable investment. This comprehensive assessment of financial variables ensures target returns quoted are reliable, minimising the risk of unpleasant, unexpected surprises.
At Bricksave, we’re committed to giving our investors the best possible real estate investment experience. Our new AI-powered research tool is a significant advancement for us and the wider industry that places us at the forefront of real estate investment innovation.
Investing carries risks, including loss of capital and illiquidity. Please read our Risk Warning before investing.
