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5 Misconceptions About PropTech And AI In Commercial Real Estate


Commercial real estate has witnessed a significant transformation in recent years, thanks to the integration of Proptech (property technology) and Artificial Intelligence (AI). These innovative technologies have challenged traditional CRE practices, making processes more efficient, cost-effective, and convenient. However, several misconceptions exist surrounding Proptech and AI in commercial real estate. Addressing some of these misconceptions, we will shed light on the true potential of these technologies.

Misconception 1: PropTech and AI are only for large corporations

Contrary to popular belief, these technologies cater to businesses of all sizes. Here at RealtyAds; we are a leading PropTech solution that has seen increased property visibility among smaller real estate firms, facilitating a more competitive edge in the market. Scalable pricing models offered by RealtyAds ensure that even smaller players benefit from automation, data analysis, and customer engagement features, effectively leveling the playing field.

Misconception 2: PropTech and AI will replace CRE professionals

There is a fear among real estate professionals that Proptech and AI will replace their jobs. However, technologies like RealtyAds are not designed to replace human expertise but rather to complement it, helping clients close 18% more deals. Lease transactions often require a personal touch, negotiation skills, and an understanding of local market dynamics. RealtyAds can assist brokers and asset managers by increasing touch points with prospective tenants and reiterating your value add to critical audiences. Asset managers and brokers can focus on higher-value activities like client relationships and deal-making. For example, if you’re a leasing agent taking broker A out to lunch, RealtyAds will help you stay competitive with brokers B, C, and D. 

Misconception 3: PropTech and AI eliminate the need for physical showings

While Proptech and AI can facilitate virtual property tours and provide in-depth property information, they do not eliminate the need for physical showings. Buyers and renters often want to physically experience a property before deciding. RealtyAds leasing enablement platform serves as a tool to enhance the pre-screening process, making it more efficient by weeding out properties that don’t meet a buyer’s criteria. With A/B testing across hundreds of assets, RealtyAds helps increase tour activity by 30%, Ultimately helping to influence tenants down the leasing funnel.

Misconception 4: PropTech and AI compromise data security

Data security and privacy concerns are prevalent in any industry, and commercial real estate is no exception. Some believe that Proptech and AI may put sensitive property and transaction data at risk. However, RealtyAds prioritizes data security and compliance with industry regulations. We invest in robust encryption, secure storage, and stringent access controls to protect our clients’ sensitive information.

Misconception 5: PropTech and AI are too expensive

With 60% of every dollar spent today going towards digital channels, cost is a significant concern for many businesses when considering the adoption of new technologies. While there may be an initial investment, the long-term benefits of technology like RealtyAds often outweigh the costs. RealtyAds helps to streamline operations, reduce manual work, improve marketing efficiency, and provide valuable insights that can lead to more profitable deals.


Proptech and AI Leasing enablement platforms like RealtyAds are revolutionizing the real estate industry, making it more efficient, cost-effective, and customer-centric. Educating people on PropTech and AI helps to eliminate misconceptions about these technologies and is essential for successful integration. PropTech and AI are tools that empower real estate professionals, enhance data security, and improve clients’ overall real estate experience.

RealtyAds is helping commercial real estate find, advance, and close more deals by engaging decision-makers and their representation on the world’s most effective customer acquisition channels. For more information, visit RealtyAds.com and follow RealtyAds on LinkedInFacebook, and Instagram. 

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