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Market analysis··1 min read

AI-generated queries delay property transactions

According to the notary office RG Law, buyers using artificial intelligence to formulate enquiries are causing additional delays in property transactions.

AI generatedAI-generated queries delay property transactions – AI-generated illustrative image
AI-generated queries delay property transactions. Illustrative image generated using artificial intelligence (AI). The image does not depict a real property, person or event and is not a documentary photograph. Labelled in accordance with Article 50(4) of the EU AI Act.

Property buyers using artificial intelligence (AI) to generate complaints and queries are causing additional work and delays in property transactions, according to the notary office RG Law. The company reports that clients are increasingly using AI to generate extensive lists of questions without fully understanding the context of their transaction.

This trend means that processing transactions is becoming more time-consuming for solicitors and notaries. The generated queries are often general in nature and do not take into account the specific circumstances of the respective purchase agreement or property. This requires a detailed review and often follow-up questions to clients to clarify their actual information needs.

Impact on the transaction process

The time that must be spent clarifying and answering these AI-supported queries adds to the already complex processes of a property transaction. This can lead to longer processing times, resulting in unwanted uncertainties and waiting periods for both buyers and sellers. The efficiency that AI ostensibly promises is, in these cases, reversed.

Experts from the notary office emphasise that precise and context-specific communication is essential to ensure a smooth process. While AI can assist with information gathering, the final formulation of legally relevant questions should always be based on a thorough understanding of the individual situation. This is particularly important in a legal field that demands the highest precision.

Necessity of human expertise

This case demonstrates that the role of human expertise in the property sector remains indispensable, even in times of advancing digitalisation. The ability to analyse complex issues, ask relevant questions, and understand legal implications cannot currently be fully replaced by automated systems. A balanced use of technology that complements, rather than replaces, human expertise appears to be the most effective approach.

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