AI vs EI: Will Robots Replace Real Estate Agents?

Tina Ashton, CGO Harcourts Australia, on Why Emotional Intelligence Still Trumps Artificial Intelligence, and How Leading Agents Use Both.

Everyone's talking about AI revolutionising property—predicting perfect purchases and turning us into robots.

The tech is brilliant, no question. But here's the reality: buying a house isn't ordering takeaway. It's messy, emotional, and deeply personal.

While AI crunches numbers faster than you can say "stamp duty," it can't replicate genuine human connection.

That's where Emotional Intelligence (EI) becomes your competitive advantage—transforming good agents into exceptional ones and stressful transactions into supported journeys.

Here's why EI still dominates Australian real estate, and how the smartest agents combine both to accelerate their growth.

AI Analyses Markets, EI Understands People

AI tells you Toorak prices rose 12% year-on-year and predicts future trends with impressive accuracy. Useful? Absolutely.

What it can't do? Understand why Mrs Smith hesitates about that "perfect" algorithm-recommended investment. Through conversation, you discover she's worried about interest rates affecting her retirement, or she's processing the emotional weight of selling her late husband's workshop.

A 2023 REIA study found 78% of buyers valued their agent's emotional understanding over technical knowledge. That's EI in action—something no machine learning can replicate.

Technology Delivers Speed, EI Builds Loyalty

AI generates property reports instantly and schedules viewings automatically. Efficient? Definitely.

But trust isn't built through speed—it's built through connection. When first-home buyers call at 9 PM panicking about building inspections, they need reassurance, not chatbots. They need someone who cares about their journey without making them feel foolish.

Agents lose clients not because their data was wrong, but because people felt like transactions. Those who succeed remember every property search has a human story behind it.

AI Predicts Trends, EI Reads Hearts

Predictive analytics forecasts suburban growth based on infrastructure and school ratings—invaluable for strategic planning.

But people don't always make logical decisions. I once knew agents working with a couple whose AI-recommended property ticked every box: location, investment potential, perfect size. Yet something felt off.

Through gentle questioning, they discovered both clients had claustrophobic tendencies. Apartment living, despite being financially sensible, filled them with dread.

They found a small house with a garden in a less "optimal" location. Six months later: photos of vegetable patches and heartfelt thanks for "seeing what we couldn't articulate."

That's EI—reading between the lines when perfect numbers don't equal perfect fit.

Algorithms Suggest, EI Advocates

AI filters properties brilliantly by price, location, and dozens of criteria. What it can't do? Advocate when negotiations get tricky or sense when vendors might be more flexible.

I've seen agents help young tradies buy their first homes. AI suggested several budget-appropriate properties, but during one inspection, the agent noticed the elderly vendor's eyes light up when the buyer mentioned restoring original timber features she and her late husband had lovingly maintained.

That emotional connection led to conversations about shared craftsmanship values. The vendor accepted an offer $15,000 below asking—not because of market data, but because she trusted her home would be cherished. No algorithm could have predicted that moment.

The Growth Opportunity

Here's where it gets interesting for your business growth. Agents mastering both AI efficiency and EI connection aren't just surviving—they're scaling exponentially.

AI handles the heavy lifting: market research, initial property matching, document generation. This frees agents to focus on high-value activities: relationship building, complex negotiations, and creating memorable experiences that generate referrals and repeat business.

The most successful agents I work with report 40% more repeat clients when they combine AI tools with emotional intelligence. They're not choosing between technology and humanity—they're amplifying both.

Data Informs, EI Transforms

While AI makes processes efficient, EI makes them meaningful. The difference between smooth transactions and genuinely positive experiences comes down to how understood and supported people feel.

Technology sends settlement updates automatically, but EI recognises when clients need extra reassurance. AI flags contract issues, but EI delivers news without causing panic.

The Future Is Integration, Not Replacement

We don't need to choose between AI and EI in Australian real estate. Growth comes from those who harness analytical power while never losing human touch.

By using AI for data-heavy work, we free ourselves for what we do best: understanding people, building relationships, and guiding them through life-changing decisions with empathy and expertise.