The simplest definition of the Digital New Deal would be “digitalization” throughout society. Why is it necessary? It makes people's lives safer and more convenient.
One of the benefits from the digitalization of each industry sector is efficiency. However, there are areas where change is exceptionally slow and thus lags behind in efficiency, and that area is real estate.
In Korea, real estate technology companies are growing around O2O services, but it still has a long way to go due to a strong tendency to stick to traditional business methods even though artificial intelligence has been introduced and digitalization has taken place in all areas. Tanker Corp. has challenged this conservative real estate industry.
The AI Revolution in the Real Estate Market
Tanker Corp. is a company that develops a next-generation brokerage platform and automation solutions for real estate financial examination based on AI.
Its beginnings were in P2P finance. Afterwards, the real estate market prediction engine was developed while attempting to combine the financial and real estate sectors. Currently, it has released three major services based on AI real estate price prediction and RPA (robotic process automation) technology.
First, Zipzip is an application that provides a search and recommendation service for urgent real estate sales. Through this AI-based residential real estate quick-sale personalized-recommendation service support project, work can be done faster.
Second, Blitz is a cloud-based real estate loan automation system. Using AI technology, the process that used to take around 30 minutes can be reduced to less than three minutes, increasing the efficiency of real estate mortgage loan review and the decision-making process.
Third, Doczip is an innovative service that automates the preparation and registration of legal documents related to real estate brokerage (brokerage agreements and brokerage item confirmation documentation). It is scheduled to be released in the second half of this year as a service that can overcome the time-consuming and cumbersome inefficiencies in creating documents.
“The whole nation is highly interested in real estate, and with the introduction of new real estate policy, there are many changes in the market. We see a lot of opportunities as the demand for AI and RPA continues to increase.”
Currently, Tanker Corp. says that the fruits of AI real estate technology development over the past three years are in sight. The synergy of the entire business is becoming visible as the performance of one business is linked to the development of other new products and services.
Advanced Technology Capable of Accurate Real-Life Transactions
The purpose of this support project was twofold. One objective was to provide daily updates of accurate market prices using machine-learning technology for a large amount of real estate data to reduce the cost of real estate market activity for potential users by recommending properties based on the price probability distribution.
Tanker Corp. recommends items for sale based on the price probability distribution table. What are the advantages of this method over providing information based on arithmetic standards?
All probability-based future price predictions assume an error, and the key is to minimize the rate of error. For example, even if the actual transaction price is calculated at 200 million won, it will not necessarily lead to a transaction at 200 million won. Prices will be formed along appropriate lines near that figure, and if the average of the transactions is made, the average will be 200 million won. Then what is important is to figure out how much the actual transaction price can move away from the 200-million-won figure.
"Recommendations based on price probability distribution table use an artificial intelligence technique to present predicted market price as a range concept. It gives us a more accurate picture of where a transaction is going to happen and what the probability is of a transaction happening at a specific price point.”
A True D.N.A. Ecosystem That Predicts the Future with Accurate Information
Data is the basis of the “D.N.A Ecosystem Reinforcement” project, which is the core of the Digital New Deal. More importantly, it is a method that makes the data valuable. No matter how much data there is, millions or tens of millions of pieces of data generated a day are just waste items without the technology to properly use them.
The vision of Tanker Corp. is “real estate for all, for a better society.” The basis for pursuing such a confident vision is “differentiated technology” in utilizing data. Tanker Corp. has a set with more than 150 data for residential real estate that is updated daily, and AI-based transaction prediction, and RPA application technology with the highest level in Korea.
The technology of the AI price prediction engine has been certified with more than 50% accuracy compared to other companies through evaluation by a third party, and its technology has also been verified in the market while working with commercial banks.
"While working in the real estate brokerage platform business, I noticed that legal documents such as real estate brokerage agreements and brokerage item confirmation documentation were being written manually. How inconvenient and cumbersome it must be for about six million documents to be completed manually every year?”
Tanker Corp. expects to solve the difficulties of real estate agents and create a more efficient work environment by automating the creation of documents with Doczip, which is being prepared for release in the second half of this year.
With the launch of Doczip, the company is planning to expand its operations into a full-fledged data business. Tanker Corp. hopes that the common goal of all employees will be to provide products and services that can be used more conveniently by all market users with Tanker Corp.'s AI technology and that from this will come brilliant results.
[Mini Interview]
Q1. What are the outcomes of participating in this project?>
“First, we succeeded in commercializing a real estate market-price calculation engine by making a contract with financial institutions. The second is to establish a real estate brokerage platform based on the Zipzip application, our main business service, and finally, Doczip, which uses AI technology to automate the processing of court documents, such as real estate brokerage agreements and brokerage item confirmation documentation.”
Q2. What is the secret to your success?
“In the case of the AI commercialization task, it is not a short-term, one-time task. So it was important to distinguish between the development stage and goals to optimize and define the implementation task according to the support period and nature of the project. It was effective to proceed with the next challenges in mind.”
