BAM Key Details:
- The latest development in AI home valuation tools is a new Plunk partnership with Milestones.ai to provide home remodeling insights and project recommendations nationwide.
- Homeowners, real estate professionals, and mortgage lenders can use the Plunk Remodel value to assess the future value of a home after specific home improvement projects.
AI-powered real estate tools aren’t new, but they’re constantly evolving to better serve homeowners, real estate professionals, and mortgage lenders. Plunk is at the forefront with its real-time analytics platform for residential real estate.
Today (Tuesday, May 16, 2023), Plunk announced a new partnership with Milestones.ai to provide nationwide access to Plunk Remodel Value and Project Recommendations.
Source: Plunk
One tool uses AI to predict the future value of a home after specific improvements have been made. This helps users identify renovation projects with the best ROI.
The other tool provides a list of recommended home improvement projects broken down by how much value each (completed) project would add to a specific home.
Where interest rates are today, most people are staying put and trying to make their home more livable. With this AI-powered enhancement, we can give our clients and agent partners even more tools to help manage their home and understand the ROI on remodel projects. It helps position our team as a strategic advisor for all things home so we can continue to get repeat and referral business, while driving near-term HELOCs or other cash-out options.
Billions of dollars left unlocked
High mortgage rates and an aging housing market are driving more homeowners to remodel rather than sell their homes. The latest findings from the American Community Survey (ACS) show the median age of owner-occupied homes is 40 years.
Older properties are generally due for a refresh with their amenities and design, including larger living spaces, modernized kitchens and bathrooms, fuel-efficient heating and cooling systems, etc.
According to a study by Plunk, $289 billion in property value had yet to be unlocked through home repairs and renovations. Across the 1.1 million Seattle area homes in its analysis, this averages $240,000 per home.
Plunk’s AI-powered home analytics platform can provide real-time property insights for over 104 million homes across the U.S. This new partnership is a critical step toward unlocking AI’s power to revolutionize home valuation and monetization.
Milestones has built a unique way for real estate professionals to stay highly engaged with clients across the entire homeownership journey through their Homeowner Management System. Now clients can easily gain access to real-time valuation and remodel analysis regarding their largest investment.
With Plunk, we are able to empower homeowners with data-driven financial guidance to increase the values of their homes over time. Plunk Remodel Value and Project Recommendations provide transparency into the best home improvement projects that can increase a home’s value and help clients reach their home’s maximum potential worth.
We need more sellers
Thanks to high mortgage rates and the lock-in effect, many homeowners are staying put rather than listing their homes, which has severely limited inventory growth and left buyers with fewer options in this year’s springtime home buying market.
The solution to this problem is twofold:
- Incentivize the construction of new affordable homes (median price point or lower)
- Incentivize homeowners to sell their homes
For sellers intent on buying their next home before selling their current one, the inventory shortage could slow them down, depending on their price point.
For others—particularly those who despair of their home’s resale value—Plunk’s Remodel Value and Project Recommendations could be invaluable. This is a tool agents should investigate to see how it can help them better serve their clients and prospects.
Click here to access and learn more about the Milestones Homeowner Management System.
