Younger homeowners and active buyers are increasingly open to using AI-powered tools alongside more traditional sources of advice, new research from Homeowners Alliance has revealed.
The research found that homeowners under 35 are combining traditional advice with a broader mix of digital and informal sources. They are nearly twice as likely as homeowners overall to use AI tools for homebuying and mortgage information, at 17% compared with 9% of homeowners.
They are also more likely to turn to online forums and social media influencers. Family and friends also play a much bigger role for younger homeowners, with a third (33%) relying on them for advice, compared with 19% of homeowners overall.
By contrast, over-55s prefer more traditional sources, with more than half (57%) relying on banks and building societies while just 4% use AI tools and virtually none turn to social media influencers for homebuying or mortgage information.
Paula Higgins, CEO of HomeOwners Alliance, said: “AI has real potential to help people research the market, compare options and feel more confident. But it will not replace the role of good estate agents, mortgage brokers and other professionals who understand the local market and can guide people through the practical realities of moving home.
“What this research shows is that younger and first-time buyers are using a wider mix of sources than ever before. That should be a wake-up call for the industry. Buyers need clear, consistent and trustworthy guidance, whether they are speaking to an estate agent, using a property advice website or testing out AI. The challenge for the industry is to make sure technology improves advice and transparency, rather than adding more confusion to an already stressful process.”
Among those open to using AI, the most common driver is general advice at 45%, followed by property valuations (39%), calculating affordability and comparing mortgages (38%), researching areas (37%) and property search (34%).
Fewer expect AI to play a role in more complex or high-stakes parts of the process such as reviewing contracts (30%), negotiations (29%), choosing an estate agent (24%) or securing a mortgage (24%).
Meanwhile, the research showed the biggest perceived benefit of using AI in the homebuying process is making better informed decisions, cited by 44% of homeowners. This was followed by reducing stress and gaining better market insight (38%).
However, only 26% expect AI to speed up transactions and just 25% believe it will improve communication between parties.
While AI is gaining popularity, Homeowners Alliance said banks and building societies remain the most trusted source of homebuying and mortgage information overall, used by 51% of UK homeowners. Mortgage brokers are close behind at 48%, followed by comparison sights and property websites.
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