Today’s real estate market is continually meandering towards recovery amidst a slower-than-normal pace and an ongoing world economic distress. With almost six years of excruciating struggle, this sounds like a good deal for buyers-and-sellers, and realtors in the market. But what are the current emerging trends in the real estate market nowadays? To give you a closer perspective, here are some top trends most investors, realtors and independent home buyers and sellers have observed.
Low Mortgage Rates
As the economy slowly perks up, it is understandable for the fixed 30-year mortgage rate to nosedive. This could mean an impending increase anytime soon. But contrary to previous prediction, this will not skyrocket abruptly. The Federal Reserve is wise enough to keep it low for at least the whole year to help hasten recovery in the housing market. As it scale back its stimulus program, expect rates to gradually rise but, as a rule, never at an abrupt pace. For buyers, this could mean that now is a great time to buy your dream home.
Dynamic Bidding Wars
With the purported recovery, bidding wars have become even more dynamic and forceful in various places like Southern California, Seattle, Boston, New York and Washington. This has, however, shown a decline in other states like Pennsylvania, Maryland and Baltimore. But with the ever fluctuating norm of the real estate market and the economy as a whole, dynamism of bidding wars has great rely on present locale situation.
Flexible Tenure and Adaptability
Before the economic upheavals, buyers are expected to stay in their purchased homes for a certain amount of time. Current trend, however, has shown that almost half of home buyers do not have clear expectations on their tenure in a particular property. As economy continually shifts, so does the mentality of a home buyer. With this, sellers must ensure to market their homes according to what a buyer needs taking into consideration a buyer’s future needs. You might want to promote flexible space characteristics like a convertible garage or basement.
Increase Demand from Married Couples
The current driving force in home buying lies on the hands of married couples who are not necessarily first-time buyers. This could be affected by the sudden shift in the economy and employment market. For sellers, staging a property that appeals to couples will definitely increase its appeal.
A Steady Influx of Renters
Unlike couples, the growing number of yuppies escaping their parent’s overcrowded basements and extended garage pave the way for the rise of demand on rental properties. As young people start moving back into the employment market brought by an improving economy, moving out of the family homes has become a norm steadily giving rise to a lucrative rental business. For sellers who are uncertain on their decision, renting out their property can be a good opportunity.
Rise of City High Rise Living
Whether the real estate market dip low or jumps up, the demand for high rise living like condominiums continually climbs at a steady pace as cities are becoming more compacted. The problem in space and more employment pouring in to these niche locations pave the way for accelerating demands and prices in condominiums. For sellers this could be a great time to invest as it can both capture both renter and buyer markets.
Consistent Rise of Digital Marketing
Of course, reliance on online trend persistently continues as the top search engine for both buyers and sellers. Digital data has become the most important resources of information. This also posed a good opportunity for realtors and private sellers as online marketing is much cheaper and wider in scope.
Let these real estate marketing trends give you a heads-up on where to put your investment. Finding which markets or sectors offer the best incentive to your hard-earned money can be quite challenging. With steadfast expectation and a competent realtor handy, home buyers and sellers can productively manage sudden shift on these trends to their advantage.