Real Estate Agents Being Replaced by Robots ---- 2% Commission vs 6% --- it's catching on

Source:http://www.zerohedge.com/news/2017-09-29/real-estate-company-replacing-agents-robots

A California firm could be starting a nationwide trend and the first impressions are going quite well. A San Diego based real estate firm is using a robot as a way to save families who list their home some money.

You can see the transition of robotics in some industries, I would not have thought of Residential Real Estate as vertical that would be affected.

Advantages
At a high level, the values is obvious. If a home seller can sell their home using automation and paying a 2% fee vs a human real estate 6% cost -- well then the home owner "keeps more money". A 4% spread on a $300,000 house is $12,000.

How Does It Work?
The robot or computer acts like Amazon Alexa, where the shopper ask's their questions

• tell me about last years taxes?

• when was the roof repaired?

• what are your local schools , distance etc...

What we are seeing is the "middleman" being squeezed where they do not add value. Similar to the Blockchain in cryptos predicted to eliminate many middleman jobs in law or paralegal work. It will cost less.