First published 11 Nov 2026, 5:00am
I entered the real estate industry more than 40 years ago, well before technology became commonplace as it is today.
And since artificial intelligence, or AI, burst onto our screens in November 2022, it’s expanded our everyday lives, including our industry even more.
As we discuss in our recently released 2027 McGrath Report, we are increasingly reaping the benefits of AI’s ease of access and smart tools.
More and more home buyers, particularly Millennials, are regularly using AI when making housing and lending decisions while still relying on human help for negotiations and transactions.
It would be easy to assume that our youngest generation would be the most prolific AI users in making real estate decisions, but that would be a mistake.
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AI is becoming an increasingly useful part of the real estate journey.
In fact, a report published in May this year showed Millennials (those aged between 30 and 45) are the most likely generation to use AI when making property decisions. Gen Z (aged 14 to 29 years) are next in line for using AI tools, followed by Gen X (46 to 61 years) and Baby Boomers (62 to 80 years).
At the same time, all of these generations share the same thought processes when using AI. Research shows that 59 per cent of Australians start their AI property sessions with lifestyle goals or commuting information before narrowing to specific suburbs.
Property websites are now latching onto this trend with realestate.com.au introducing a range of AI-powered search tools, including more conversational-style chats, in August.
As a result, buyers no longer need to fill out a long list of check boxes, while selling agents need to ensure marketing information reflects likely search phrases and buyer motivations. But realestate.com.au isn’t the only property organisation to utilise AI’s popularity with home buyers and sellers.
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John McGrath – Managing Director, Chief Executive Officer of McGrath. Picture – Supplied
A March 2026 report by the Property Council of Australia found 55 per cent of Australian property organisations are now implementing or operating AI systems. Key areas for AI innovation included sales and marketing, property management and buyer and seller transactions.
Proptech Australia president, Kylie Davis, said AI is increasingly helping home buyers and owners as well as developers and is assisting smaller businesses to understand and manage planning systems.
Similarly, AI is assisting investors, including traditional ‘mum and dad’ buyers, to navigate and understand taxation, regulation and likely profitability, and create business plans.
Investors are also now able to access local data and information which was once only available to industry experts and agents.
However, according to the report, when the AI search phase is over and property negotiations begin, home buyers still want to interact with humans.
Homebuyers still want human interaction.
Almost half of Millennial house hunters want human verification on their AI outcomes which is once again, the highest level of any generation. This is followed by Gen Z (44 per cent), Gen X (43 per cent) and Baby Boomers (35 per cent).
This generational reliance on human verification of AI searches is a theme taken up by Mauricio Umansky, a global real estate leader and commentator, and star of Netflix’s ‘Buying Beverly Hills’ series.
Mauricio has stated that “AI and quantum computing (are) not going to replace agents, but it is going to make us more efficient.”
“These are not transactions consumers do every day … there will always be a place for having someone to talk to about a major real estate decision,” she said.
AI is certainly continuing to provide new tools for property consumers to navigate and profit from their decisions while also freeing up property professionals, such as agents, to deliver more creative solutions and strengthen relationships with clients.
This combination of benefits gives home buyers the chance to streamline and improve their home and lending decisions, and guide them through the biggest transactions of their lives.
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