ChatGPT says "Don't Trust ChatGPT" - Whaaaa?

Question

I saw someone new using ChatGPT to research buying a property

Interestingly, I put "chatgpt bad advice real estate" in and it responded with

"Using ChatGPT for real estate advice can lead to significant risks due to its tendency to generate inaccurate or fabricated information,

often referred to as "hallucinations". While it can assist with drafting property descriptions or generating initial ideas, it is not reliable for creating legally binding contracts or providing up-to-date market data. For instance, ChatGPT may invent amenities, misrepresent property features, or provide outdated information, such as mortgage rates or market conditions, since its training data only extends to 2021. This can result in misleading listings or poor decision-making, especially when dealing with complex transactions or regulatory compliance.

Moreover, ChatGPT cannot ensure adherence to local and state real estate regulations, including fair housing laws, and may produce content that inadvertently discriminates based on race, gender, or other protected categories. It also lacks the ability to provide personalized, context-specific advice tailored to a buyer's or seller's unique circumstances, such as neighborhood-specific trends or nuanced negotiation strategies."

Alan F. · Answer

AI is only tool, a tool is only as good as its operator. Don't BE a tool.

Hallucinations are real.

Caleb Brown · Answer

Awe so I can't use ChatGPT to draft contracts? LOL

Marcus Auerbach · Answer

The old "garbage in - garbage out" holds true.

Most people use AI like Google: the prompt is 1 or 2 lines long and the result is 1 or 2 pages. Basically a very low input to output ratio. The result is generic and sometimes includes flawed or irrelevant bits.

The results get better when you invert the input to output ratio. Once your prompts get more detailed and you add more input data (pdf, xls etc) you get more interesting responses. The ratio flips -> 100 pages in, 1 page out.

For example, I don't let AI draft contracts, but when I am on the road, I have a CustomGPT that summarizes and compares offers by scanning for every checkmark, crossout and every word of language that has been added, which is a pain when you have 30 pages pdf to look over on your phone (and you have 8 offers). The result is a side-by-side comparison. And yes, I still print the entire top offer and go over with a highlighter before we accept it

Chris Seveney · Answer

it blows my mind how many people are using it and believing it over humans. I had a call with an attorney the other day who let me know they had a client who was using ChatGPT to research all these creative options. The attorney told them it was a waste, but the investor requested again answers from the attorney. The attorney provided answers, of course, based on legal opinion, which ended up being a true waste of time, but also cost that person thousands of dollars in legal fees.another one I heard recently was an individual was using ChatGPT to get tax advice. The sponsor kept telling them to talk to their accountant and the sponsor and the accountant were saying same thing  but the person using ChatGPT did not believe either.  it did not matter what you told this person their mind was already made because ChatGPT told them so

Scott Johnson · Answer

I use artificial intelligence all day, long for my real estate transactions, but no, I would not set it up to fill out contracts, due to the aforementioned challenges that ChatGPT brought up. I do, though, use it like a beast for analyzing properties.

Theresa Harris · Answer

I wouldn't trust ChatGPT and the part you have at the top is exactly why.  It compiles information, it doesn't mean that information is correct or even applicable to the area you are in.

Scott Johnson · Answer

@Ken M. , the lazy people who accept what it gives them at face value. Agreed.

Scott Johnson · Answer

@Ken M. Welcome to North Carolina. Buyer beware.

Scott Johnson · Answer

The other part to this question is whether or not, if the data that is required to fill in the blanks for contracts is available in a broker database and has been verified by the broker, One should use artificial intelligence to "fill in the blanks" of standardized forms. Especially if, after it has been filled in, the Broker reviews that document prior to sending for signature.

ChatGPT says "Don't Trust ChatGPT" - Whaaaa?

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