Aipedia: Estate and letting agents

AI chatbots for viewings and property enquiries

Aipedia, by the Apex broking team · Last reviewed 2026-10-27

An agent is usually responsible for what its chatbot tells buyers and tenants, just as it is for what its staff say. Chatbots answer questions about price, tenure, fees and availability, so one wrong answer can mislead many people.

Part of: AI in estate and letting agents

In short

Agents use AI chatbots on websites, portals and messaging apps to answer enquiries, book viewings and qualify leads around the clock. Generative bots can give confident wrong answers about a property, its tenure, chain status or fees. TPO Code 7i requires accurate, non-misleading marketing, 18t treats digital messages as records, and section 226 of the DMCC Act 2024 covers misleading actions. In lettings, a bot that quotes prohibited fees risks action under the Tenant Fees Act 2019, which the National Trading Standards Letting Agency Team enforces in England. Claims and complaints follow the agent, subject to any contract with the bot supplier.

How agents use chatbots

Chatbots handle out-of-hours enquiries, answer frequently asked questions about a listing, book viewings into the diary, ask buyers about their position and mortgage, and pass hot leads to negotiators. Newer generative bots read the listing, the agency website and sometimes internal notes to answer free-text questions. Some also send follow-up messages and draft emails on behalf of staff.

The more freedom the bot has, the more useful it feels and the more likely it is to say something the agency would not.

There are broadly two designs. A scripted bot follows fixed decision trees and only gives answers the agency has written. A generative bot composes its own replies from whatever information it can reach. Generative bots handle unusual questions well, but they can also blend details from several listings, rely on out-of-date pages or guess when the answer is not in their sources. Some agencies may run a hybrid: generative replies for general questions, fixed answers for anything about fees, legal status or availability, and a handover to a person when the buyer or tenant asks something specific.

The duties that apply

TPO Code 7i: statements must be accurate and not misleading, and material information disclosed.
TPO Code 1i and 18t: keep full written records for six years, and records include emails and digital messages, which covers chatbot conversations.
TPO Code 1h: confidentiality and data protection for what enquirers type in.
DMCC Act 2024 s.226: misleading actions in the course of dealing with consumers.
Tenant Fees Act 2019: enforced in England by the National Trading Standards Letting Agency Team.

Seller-side obligations in the TPO Code do not change because the words came from software.

What can go wrong

The bot states a property is chain free or freehold when it is not.
It quotes a holding deposit or fee that a tenant cannot lawfully be charged.
It says a property is available when an offer has been accepted.
It shares another applicant's details or internal notes.
It promises a viewing slot or price flexibility the seller has not agreed.

Illustrative: a buyer asks an agency chatbot whether a flat has parking. The bot, drawing on a similar listing, says it has an allocated space. The buyer proceeds, relying partly on the answer saved in the chat. At completion there is no space. The buyer complains to the redress scheme and seeks the cost of renting a space, pointing to the saved conversation as the agent's own record.

How PI usually responds

A misstatement by a chatbot on the agent's behalf is likely to be treated like any other statement made in the course of the agent's professional services, subject to the policy terms. Points to check include any exclusion for technology or AI-generated output, how fines and penalties are treated and whether data protection claims are covered. Liability between the agent and the chatbot supplier depends on the supplier contract. Our AI chatbot insurance guide explains the wider insurance picture and does PI cover AI mistakes? covers the PI side.

Practical controls

Limit the bot to approved listing data and FAQs; block free answers on tenure, fees and legal points.
Include a short statement that answers should be confirmed with the agent.
Hand fee and deposit questions to a person or a fixed approved answer.
Keep chat logs for six years and review a sample each month.
Remove under-offer properties from the bot's knowledge promptly.
Record calls and offers properly too; see AI call recording and offer logs.

How Apex helps: Apex arranges PI for agencies that use chatbots and can check how your policy treats statements made by them. See AI in estate and letting agency, AI-written particulars and AI lettings compliance tools.

Sources

Frequently asked

Is an estate agent liable for what its chatbot says?

Usually, yes. The bot speaks on the agent's behalf, so TPO 7i and section 226 of the DMCC Act 2024 apply to its answers. You may have recourse against the supplier under your contract, depending on its terms.

Do chatbot conversations count as records under the TPO Code?

Yes. The TPO Code defines records to include emails and digital messages (18t) and requires full written records to be kept for six years (1i). Make sure chat logs are retained and retrievable.

What if a lettings chatbot quotes a banned fee?

Charging or requiring prohibited payments can lead to enforcement under the Tenant Fees Act 2019. Do not let a generative bot answer fee questions freely; use a fixed, checked answer or pass the question to staff.

Should we disclose that enquirers are talking to AI?

It is good practice to make clear that a chatbot is automated and that answers should be confirmed. Hiding it could feed into a misleading overall presentation.

Check your PI covers how you use AI

Tell us about your firm and the work you do. A broker will review how your current PI treats AI-assisted work, or arrange new cover. No fee for a quote. Or call 0117 325 0027.

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Apex Insurance Brokers Limited is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales, company number 07014570. This page is general information about how AI is used in the profession and how insurance may respond. It is not legal, regulatory or insurance advice on your circumstances, and it does not guarantee that cover will be available or on what terms.