Wanting to get involved in owning property or become savvier with your investments this year? Click here and discover the top real estate trends.
Looking to buy or sell real estate this year? It’s vital that you understand the trends that are affecting the market.
We’ve come a long way from the 2008-2009 market crash, but some parts of the country are still struggling. Others, however, are booming again.
Here are six important real estate trends to keep an eye on. They will help you stay on top of the market and make wise decisions!
1. Expect Millennials to Increase Buying
The slow-but-sure recovery of the U.S. economy has helped everyone, especially young adults. Millennials are finding themselves in a better position financially, with higher-paying jobs and more savings.
As a result, Millennials are moving out of their parents’ homes and into properties of their own. If you are a real estate agent, this means that focusing your marketing on young adults is a great strategy.
As an investor, you’ll find that starter homes are a good market. If you can renovate and “flip” low-cost homes in good markets, you’ll be able to make a significant profit in 2018.
Young people buying their own homes is one of the most important real estate trends of the year!
2. Home Supply Will Finally Meet Demand
The country has been in a long seller’s market, as the number of buyers has been much higher than the supply of homes. However, expect that imbalance to even out late this year.
Realtor.com predicts that this fall, housing inventory is expected to catch up. The reason is that high levels of construction will finally cause there to be more homes available, rather than just people moving from one house to another.
Unfortunately for many buyers, this shift is expected to start with more expensive homes. It will work its way down through the market over time, so starter homes may still be hard to find until 2019.
3. Southern Cities Will Boom
Cities in the South have been attractive to families for a long time. There are strong business benefits given the good weather and low costs, and that means jobs are available. Families love the temperate climate as well, so expect Southern cities to grow this year.
Cities such as Tulsa, OK; Dallas, TX; Little Rock, AK; and Charlotte, NC are expected to do especially well. They may see a growth of 6%, compared to a national average of 2.5%.
If you’re looking to move to North Carolina, Asheville is another great area. Real estate agents like Beverly Hanks can help you find the perfect home for you.
4. Real Estate Trends Still Include Short-Term Rentals
Although the real estate market will be slowly shifting towards a buyer-seller balance, for most of the year inventory will still be low. That means that the rental market will still be strong throughout the year.
Short-term rentals are a specific section of the market that continues to thrive. People enjoy visiting places without paying full price for a hotel room. In addition, folks moving to an area need somewhere to stay while they look for a permanent home.
As an investor, you may want to take advantage of this important trend. If you can purchase high-demand property in a major market, you can benefit from short-term rentals. You can also do well by renting starter homes to families who are having trouble finding the right home to buy.
5. Tiny Homes and Mobile Living
Tiny living has been one of the key real estate trends for several years. It’s not going anywhere, as it offers an incredible opportunity for both home buyers and investors in 2018.
Housing is increasingly difficult to find in highly populated, highly desirable metro areas. When it’s available, it’s often outside the budget of all but the most wealthy families.
A good alternative is tiny living. Whether that means micro-apartments in major cities, tiny homes in suburbs, or living in mobile homes and traveling the country, there’s a lot to be said for a minimal lifestyle.
A lot of folks find that they don’t need nearly as many possessions as they once assumed. At the same time, you can save a lot of money when you live in a smaller footprint.
Investors can benefit from the tiny living trend as well. If you can invest in a builder, or take part in a tiny living community, you can make a profit from those who enjoy the smaller lifestyle.
6. Smart Home Technology Continues to Grow
Smart homes are all the rage, and an increase in technology is one of the important real estate trends to watch. New homes have an increasing need for connectivity to be built in. Buyers are expecting more programmability, especially in more expensive homes.
As a seller, if you install smart technology in your home before it hits the market, you’re likely to grab top dollar from buyers. Investors can also benefit from these real estate trends by including technology in their renovations.
Homeowners enjoy the amenities offered by smart technology, and tech companies are happy to provide more and more options. At the entry level of the market, there’s too little supply for buyers to worry about these extras, but over time that will change as well.
What Other Trends Are on Your Mind?
Watching business trends are an important part of keeping yourself on top. Our small business articles can keep you up to date, and our business advice will help you make the most of what you learn.
Don’t let today’s real estate trends pass you by. When you keep up with these trends, your wallet and your lifestyle will thank you!