Future of Real estate business
Understanding the current market is essential to striking an optimal deal, for those looking to invest in real estate. For current property owners or aspiring investors, it is as much important to know where the market is headed in the coming years. Any plans to rent, buy or sell in the near or distant future could be considerably impacted by market conditions, and you may decide to make a move or wait it out depending on the circumstances at that time.
To help you plan your next real estate business deal, I have researched what the specialists and what they believe the prevalent market trends will be in the next few years.
As the market remains to stabilize after years of aspirational pricing, In my opinion we will see a drastic shift in what luxury looks like. More people will start to drift away from expansive second homes and look to build tiny homes with minimal usage of resources and crafty built-ins. There’s now an ongoing movement that is being called the “tiny house movement” to be synonymous with luxury. – Elizabeth Ann Stribling-Kivlan, Stripling & Associates.
A return to more solid underwriting and basics is here to stay, for multifamily valuation and investing that is. The post-crash and collapse aftermath days of rapidly rising rent and lowering interest rates have ended, which have stiffened underwriting. – Lee Kiser, Kiser Group.
Better Price Separation between Top-Tier and Low-Cost Housing
The market is now responding to increasing society separation, offering both ultra-luxury housing properties with super-amenities and co-living arrangements. In my opinion an even higher split in the future, ranging from mega-townhouses/palaces in large cities for the top 1% and ultra-condensed, low-cost, minimum-comfort residential for students, individuals and starters of society. Elliot Bogod, Broadway Realty.
The tech uprising will not happen immediately. It will be steady and over-hyped, but it will arise. Over time, technology and data will substitute (most) humans in closing real estate dealings, in both sales as well as rentals, in the same way, it replaced the necessity for humans to market properties today. This would not create mass unemployment in real estate services, but these jobs would seem very different. – Anthemos Georgiades, Zumper.
Disruption by Free Vehicles
Driving around the Dallas marketplace you will see cars marked “driverless vehicle” being tried around town. The biggest influence in real estate will be a decreased amount of parking spaces needed with driverless vehicles being able to drop you off in front of your work and go park in a less prime space. We’ll see a chance to use some of the parking places for prime retail and restaurants instead. – Pamela J. Goodwin, Goodwin Commercial.