REA issues guidance on Gen AI use in real estate services

The Real Estate Authority (REA) has released new guidance for licensed real estate professionals regarding the use of generative artificial intelligence (Gen AI) in their services.

The guidance from REA emphasises that while Gen AI presents opportunities for the real estate sector, licensees are ultimately accountable for the services they provide, including any errors resulting from the use of such tools.

The document outlines critical regulatory considerations, urging licensees to verify the accuracy and completeness of information generated by Gen AI. It also includes recommendations for addressing privacy, data protection, and cybersecurity concerns.

Belinda Moffat, the Chief Executive and Registrar of REA, expressed support for the technological advancements in real estate, noting that the guidance aims to help licensees and agencies navigate potential risks associated with the use of Gen AI in delivering services to consumers.

"Gen AI has the potential to enhance the way that licensees deliver real estate services, delivering benefits both to agencies and to the consumers they work with. REA supports innovation that enables high standards of service for customers and clients, provided that risks of harm are appropriately identified and mitigated. However, this must be balanced with managing risks, protecting the interests of consumers, and ensuring that high standards of accuracy and confidentiality are maintained," stated Moffat.

She further highlighted the importance of agencies implementing policies and procedures to manage the use of Gen AI. "Careful human oversight is vital to enabling the safe and responsible use of Gen AI in real estate agency work. REA's guidance strongly encourages agencies and licensees to put in place safeguards that ensure their use of such tools meets legal and regulatory requirements, as many have already begun to do," she added.

As the use of Gen AI in real estate continues to develop, the REA reiterates that licensees will remain responsible for their services under the Real Estate Agents Act 2008 and related Code of Conduct, regardless of technological tools utilised.