A look at IMN East: How SFR Investors Leverage AI and Tech in 2024

The IMN Single-Family Rental (SFR) conference is a premier gathering for SFR industry leaders and investors to learn more about market trends, investment opportunities, and innovative technologies shaping the sector's future. This year's conference was no exception, bringing together a diverse group of professionals, from seasoned investors to innovative vendors, all eager to share their expertise and learn from one another.

Leveraging AI in the SFR Industry

One of the well-attended sessions at IMN centered around how the real estate industry is leveraging AI to streamline operations, reduce fraud, and drive revenue. Speakers on the panel highlighted the benefits of using AI throughout the property lifecycle and to create business efficiencies. A key takeaway from the discussion was the importance of building internal processes and evaluating data regularly to ensure accurate results. 

The Challenges of Adoption  

Endpoint Vice President of Revenue Tomer Dorfan spoke on the panel about the particularly challenging part of integrating AI into business practices.  

“One of the most persistent problems, one of the most high-value problems, is aggregating institutional organizational knowledge,” Dorfan said.  

Consolidating vast amounts of institutional knowledge within an organization is complex. By creating a centralized knowledge base, AI systems can ensure information is accessible to team members, enhancing their decision-making and operational efficiency. Dorfan shared that Endpoint utilizes an internal AI chatbot, which helps the closing team process files more efficiently.  

Measuring the success of AI

The panel also addressed the challenges of measuring AI’s effectiveness and its impact on business goals. While AI is becoming more advanced daily, it cannot entirely replace what humans can do. AI solutions should streamline operations, reduce repetitive tasks, and allow employees to focus on supporting customers and more strategic activities.

Dorfan shared that Endpoint gauges the effectiveness of its AI tools by measuring how much more productive staff is. He also noted that Endpoint will always value the importance of the human element throughout the real estate transaction, while technology can be used to maximize efficiency.  

“There is still a human element in closing dispositions and acquisitions,” Dorfan said. “Now, the folks on the front line have access to a chatbot that can quickly pull together all these nuances for different markets and provide standardized answers to clients."

“The true measure of AI success is not just in its technological prowess, but in the tangible improvements it brings to our daily operations and customer relationships," Dorfan emphasized. AI empowers the Endpoint closing team to be more efficient in closing more transactions each month, freeing up time to better serve customers.

Streamlining acquisition and disposition strategies with technology  

Dorfan also moderated a panel titled “Assessing The Technology & Market Data Critical To Supporting Your Acquisition/Disposition Strategy.” The panel comprised of vendors and investors who addressed leveraging technology to make informed decisions during the acquisition and disposition processes and streamline the property lifecycle.

Speakers shared how technology automates property valuation and condition assessment processes through data analytics and machine learning.

One vendor that provides a platform for assessing repairs and renovations mentioned how their proprietary technology uses APIs and integrations to help customers estimate future expenses of short-term and long-term property improvements. It creates instant estimates and uses predictive analytics to determine what it will cost to maintain the property.  

Another vendor cited using analytics to analyze the risk profile of each home purchase. They provide custom reports to investors, which they can compare to their data sets, resulting in the ability to make more informed acquisition and disposition decisions. Investors may consider the growth of major national chain retailers in an area, school rankings, and the overall market trends for underperforming or overperforming metro areas. All of these metrics can be available by partnering with the right vendors to help inform stronger decision-making.

The conversation continued with the process of assessing technology and vendors, highlighting the need to measure profit and loss (P&L) impact and choose reputable, well-fitted vendors.  

One investor highlighted the importance of proof of concept, emphasizing the need to work with vendors who actively partner with other operators in the SFR space. They also stressed that quantifying data on improvements in speed and accuracy during transactions is crucial.

Technology is paving the way for SFR

From the transformative power of AI to emerging market trends, IMN SFR highlighted the dynamic nature of the SFR market and the opportunities it presents. As these advancements reshape the industry landscape, technology plays a pivotal role in enabling investors to navigate these changes with confidence.

Technology is transforming the way investors make informed decisions about property acquisitions and dispositions while also simplifying the buying and selling process. Closing technology, such as Endpoint's, enables investors to complete more transactions in less time. By leveraging technology vendors for predictive analytics and closing solutions, investors are more well-positioned for a successful investment strategy.

To learn why Endpoint is the clear choice for SFR investor closings, visit endpoint.com/investors.