photo credit: respres
The housing economy has been on the decline for a couple of years now and it shows no sign of letting up in the near future. This has caused people to start embarking on some trends that are likely to continue in the months to come. As a professional in the real estate industry, it is important to stay aware of these trends in order to adjust your approach to your properties accordingly.
Some of the most common trends resulting from the decline in the housing economy include:
- There are more renters in the market than before. Former home owners have lost their homes to foreclosures and have to rent. Younger people can’t qualify for mortgage loans. This means it may be better to focus on finding renters for your properties than on fixing the properties up for sale.
- Seniors are staying in their homes. Home values have gone down and reverse mortgage loans have gone up which means that more and more seniors are staying in their homes. This reduces the number of homes on the market in areas with high senior populations.
- Investment properties are long-term. Because the housing market is poor, it can be a good time to buy a home at a low cost. However, investment property buyers have to switch gears from the old way of thinking towards a plan that includes keeping the house for several years until values may rise.
Anyone who is considering buying, selling or renting a home should be aware of the trends taking place in the real estate economy today. Taking these trends into account can help you to make wiser decisions that ultimately lead to profits in your pockets.