How AI Could Shape Gen Alpha’s Homeownership Journey
Gen Alpha: The AI Generation
Born between 2010 and 2025, Gen Alpha is the first digitally native generation. It’s the first generation to grow up with artificial intelligence (AI), so living in an AI-powered world will be the norm for this group.
Even today, AI and housing are closely linked, with AI platforms analysing data during the buying process and smart home devices offering connected living.
AI constantly evolves, as it’s always learning. With so many unknowns and limitless possibilities, its future impact can be hard to predict. But, in this blog, we’re exploring how it could affect Gen Alpha’s homeownership journey, whether through Shared Ownership or private sale.
AI’s Impact on Home-Buying for Gen Alpha
For Gen Alpha, AI will be intertwined in every aspect of their day-to-day lives, including their journey to homeownership. At this point in the future, the technology could have transformed far beyond its current limitations. Although still hypothetical, Artificial General Intelligence (AGI) could emerge within the next decade and be commonplace when Gen Alpha buyers navigate the housing market in the 2030s. According to IBM, AGI could operate with human-level learning and processing abilities, developing the technology by leaps and bounds from where it is now.
Here are some ways that AI could evolve as Gen Alpha members start buying homes.
Smarter Property Searches
Gen Alpha’s predecessors, Gen Z and Millennials, are already using large language models (LLM) like ChatGPT to help them achieve their goals, such as how to save up for a home. Prompts based on individual circumstances and preferences can result in a clear, tailor-made strategy broken down into smaller, easy-to-achieve steps with tips for staying on track.
In the future, AI-powered platforms could go one step further by optimising the property search and providing personalised recommendations, streamlining Gen Alpha’s homeownership journey with bespoke solutions.
AI in Mortgages and Finance
The Society of Mortgage Professionals states that AI is already transforming the UK mortgage market with automation and data analysis. Lenders use the technology to verify documents, detect fraud and analyse credit risk, making these processes more efficient.
In the future, the technology could also assist with automated lending decisions and financial assessments, such as Shared Ownership affordability. The evolution of chatbots may also result in digital financial advisors that can provide bespoke advice and recommendations for prospective buyers.
Virtual and Augmented Reality Property Viewings
Virtual home tours are already a mainstay of the home-buying process. But in the future, AI could enhance property viewings through virtual and augmented reality, offering an immersive experience. Prospective buyers might be able to virtually walk through and see themselves living in the space, envisioning their future life there before even setting foot in the door.
AI-Powered Smart Homes
Smart home technology is already evolving with AI. But based on expected advancements in AI’s language processing, energy efficiency and personalisation abilities, experts predict that smart home devices could transform from responsive to intuitive. By learning preferences and routines, AI could anticipate needs, optimising the environment to the person’s liking without command.
Challenges & Ethical Considerations
The future of AI depends not only on investment in the technology and advancements in its abilities but also on having robust security systems and preventative measures in place to protect the people using it. Potential risks include data privacy, misuse and AI generating inaccurate outcomes, which could negatively impact Gen Alpha as it navigates the housing market. Measures will be required to mitigate these risks, especially as the technology evolves rapidly.
In the UK, the government has pledged to ensure a responsible future for AI and published an AI Opportunities Action Plan outlining how the technology will boost economic growth, provide jobs for the future and improve people’s lives. These steps aim to ensure that AI will be used safely and responsibly.
Looking Ahead: What This Means for Shared Ownership & Affordable Homeownership
AI can enhance the experience of aspiring home-buyers as it streamlines processes, such as assessing and processing data from documents. With specific prompts, it can also provide tailored financial advice and help prospective buyers with decision-making. Additionally, it can clarify and simplify information, making legal jargon and conditions easy to understand.
By the time Gen Alpha is old enough to buy homes, the technology could have advanced to the point where it can anticipate needs and intuitively act on behalf of the user, enhancing their lifestyle in unprecedented ways. Whether they’re considering buying an apartment or house outright or exploring schemes like Shared Ownership, Gen Alpha buyers might have access to advanced AI platforms that will support them through their homeownership journey.
At NHG Homes, we develop high-quality homes that are built to last. Explore our developments to find private sale and Shared Ownership apartments across London and southeast England.
