South Bend real estate firm turns to AI as housing and talent strategies evolve

Wednesday, October 29, 2025 11:19 AM EDT
By Eniola Longe

https://www.insideindianabusiness.com/articles/south-bend-real-estate-firms-turn-to-ai-as-housing-and-talent-strategies-evolve

SOUTH BEND, Ind. - South Bend's real estate market is getting a high-tech boost. Local firms are increasingly turning to artificial intelligence to speed up transactions, train agents and connect buyers with homes—tools that are helping the region not just move property but also attract and retain workers.

At real estate firm Cressy & Everett, co-owner John De Souza said his background in consulting and technology positioned him to lead the firm's internal AI rollout.

"AI is coming to our space very strongly, so we're trying to make the most of it. We built our own AI tool and we've had it for about a year," he said. "It helps our agents with their writing. It helps them answer some tricky questions about negotiations, and it also helps them practice."

De Souza explains how his firm is applying AI to internal processes.

The firm also runs a "Preferred Realtor Program" in partnership with the University of Notre Dame. The program connects potential faculty and staff recruits with agents trained to showcase the region's housing and lifestyle options.

"We have a very specific group of agents who have been trained to be part of this group to provide a service," De Souza said. "They know how to be good ambassadors to the community, and they can present a really positive, accurate image of what it's like to be in the area."

Housing in the South Bend–Elkhart region remains relatively affordable compared with national averages, but demand is high and inventory moves quickly. Zillow reports the average home value in South Bend at about $185,239 in September 2025, up 4.2% year-over-year, with median days to pending at just 15.

"Our market is very affordable, compared to the coasts where home prices are higher than they are here. However, our salaries are also lower," De Souza said. "Because affordability is difficult, sometimes renters can even be resentful that they'll never be a homebuyer."

These local shifts reflect wider regional priorities. The South Bend–Elkhart region is working to retain college graduates and attract remote and hybrid workers, with housing seen as a key lever. According to a forecast by the Indiana Business Research Center, home prices in the area are projected to increase by up to 3% in 2025 as supply grows and more new-home construction comes online.

Especially for first-time buyers, De Souza advised that connecting with a realtor early can give them access to deals that do not even make it online. He noted that fast-moving inventory at attractive price points can vanish in 24 to 48 hours.

"Most first-time buyers might Google how to buy a house or they may watch a TV show that tells them how to buy a house," he said. "But they really need to be talking to folks if they're going to get a mortgage, which most first-time buyers will."

Mortgage rates are another deterrent in the current housing market, which De Souza described as a "seller's market." He explained that the current interest rate climate is likely to be the norm going forward.

"The problem is that we have folks who remember the 3% rates," De Souza said. "We refer to those times as the unicorn years. They came once and they're never coming again. Six percent is not the cheapest, but it's not horrible either."

AI adoption is not limited to residential sales. On the commercial side, developers and asset managers are using AI to scan portfolios, assess risk and automate reporting, speeding up decisions in a competitive market. Michael O'Malley, executive director of the Fitzgerald Institute for Real Estate at Notre Dame, said firms that embrace AI gain a strategic edge.

"The prevalence of AI is real and it's here right now. If you don't have AI skills, you're ultimately just going to become much less efficient than your peers or your competitors," O'Malley said. "Folks that can truly utilize it are going to be able to analyze more information, go deeper in their analysis and utilize artificial intelligence to get more confidence in investment decisions."

While AI can significantly streamline tasks that involve large amounts of data, O'Malley also highlighted how AI can improve marketing and client interactions.

"Often in real estate, you have one seller but dozens or hundreds of potential buyers," he said. "You're answering the same questions over and over. Having AI that anticipates questions and learns from previous answers can make everyone more efficient."

He also noted that AI is only as reliable as the prompts and data it receives and cautioned that AI is not foolproof and carries risks.

"If you're using an Open AI system like ChatGPT, anything you put in there is public," he emphasized. "People need to be careful not to put private information out into the public."

O'Malley recounted instances where users relied on AI to answer questions automatically and received incorrect or misleading information.

"AI can make you much more efficient," he said. "But you have to double-check that it's pulling from the right sources and giving accurate information for the property, market or subject you're researching."

Several local initiatives are underway to address workforce housing needs and leverage technology in real estate. The Elkhart Board of Realtors plans to introduce AI tools within its MLS system to support agents, while developers and firms continue to explore AI-enhanced market analysis and client services.

As South Bend seeks to retain graduates, attract remote workers and expand its housing options, technology and talent strategies are converging in the local real estate market.