When we look at the statistics on AI capabilities, we see a fascinating disparity. In sectors like law, administration, and finance, the technology can handle 80% of tasks, yet in construction it's less than 10%. This disparity is not just a technical detail — it's a fuse that will soon reshape prices in the real estate market.
At BizPartner Group, we analyze three main price movements that this "AI gap" will trigger:
Data on occupations suggest that the Office & Admin and Business & Finance sectors are in for radical downsizing. If a company no longer needs 100 administrative workers thanks to AI, but only 20 top managers who master the technology, it also doesn't need 2,000 m² of office space.
Impact on price: For older administrative buildings (B and C category), we expect a decline in market value. Owners will be forced to lower rents or invest enormous sums in repurposing buildings (for example, converting them into apartments).
Winners: Premium, technologically "green" buildings in city centers will hold their value, but the fight for tenants will be brutal.
The residential market is directly tied to incomes. If AI replaces mid-paid administrative positions, the structure of demand will change:
Pressure on the "middle": Apartments bought today by the middle class (white-collar workers in banks or law firms) may hit a price ceiling. If confidence in their employment drops, so does banks' willingness to grant mortgages.
Rising prices in the "blue-collar" segment: Professions in construction and maintenance are immune to AI. Their cost of labor is rising, and with it their purchasing power. Apartments in affordable locations, where demand comes from these stable professions, may actually increase in value.
Investment apartments: Thanks to AI in the Finance sector (market predictions), investors will be able to determine far more precisely where prices will rise. This will lead to faster acquisition of lucrative properties, which could push prices in top locations even higher.
Although AI reduces costs in the "paperwork" side of the business (design, permits, contracts), actual construction remains at the bottom of the AI capability chart.
Materials and labor are expensive: While AI can perform legal analysis of a plot for €5, no one can digitally manufacture or lay bricks on it. Since construction is automating the slowest, input costs for new builds will remain high.
Verdict: Across-the-board price drops in real estate due to "technology" are not happening. Instead, we will see a widening scissors — extremely expensive new builds vs. falling prices of outdated administrative and residential properties.
At BizPartner Group, we see a clear message in these numbers: Liquidity is becoming more important than ever before. Thanks to AI in the Legal category, we will be able to buy and sell properties much faster. Real estate will start behaving more like the stock market. Those who have the data and fast processes will protect their capital from the drops that will hit the inflexible parts of the market.
Watch the professions: Where do your tenants work? If they are in professions with 80% automation potential, your risk is growing.
Watch construction costs: These hold the floor price of new builds.
Use technology for selling: If the market is accelerating, you cannot afford to wait months for contracts.
The future of real estate prices will not be about "whether" they will rise, but about "how quickly" you can react to the changes in the structure of work that AI brings.