The real estate industry is constantly changing, with new market trends, buyer preferences and housing conditions often setting the tone for the future.
Therefore, it is extremely important that all real estate professionals can adapt right alongside. If not, it may become challenging to succeed within the industry. Few times have been as turbulent as the recent recovery, and as things are finally climbing back toward normal these changes may become more apparent.
Where real estate may be headed
Homebuyers and sellers are often the driving force behind real estate, but one segment - millennials - could be having an impact in other ways than ownership, according to CBS MoneyWatch. In 2014, this group could be a big player in real estate. However, they aren't buying homes per se, but instead renting in droves and spending a longer amount of time living with their parents. All of these decisions have ripple effects throughout the sector, because millennials are a large demographic, and in years past people their age were typically an influential buying segment.
In addition to millennials, MoneyWatch explained that second-tier cities, such as Portland, Ore., Seattle and Boston, now present numerous affordable opportunities for buyers. This could include real estate investors looking for foreclosed houses and other deals, or the more traditional home shopper. Regardless, overall recovery is still strongly tied to job growth, and the best cities for homebuying and selling will often be connected to this statistic in some way.
Understanding the housing market is crucial for the success of any real estate professional. Courthouse Retrieval System offers easy access to an expansive collection of information, from mortgage records to property data and much more.
When is it time to adapt to changes?
Given the constant shifts across the real estate segment, it is only a matter of time before professionals have to adapt to new trends and behaviors. Thankfully, there are plenty of ways to stay busy and be prepared for anything.
According to The American Genius, mastering several niche skill sets can make succeeding within the industry easier. For starters, all real estate agents should learn about property management. As conditions fluctuate, many people who once owned have now turned to renting. Therefore, it may be wise to take a crack at being a landlord, in order to earn some additional income throughout tough economic times.
In addition to property management, real estate agents should also pay attention to new neighborhoods that have popped up in a region, the news source noted. If the median sales price is higher in these areas, it may be wise to shift a marketing strategy to focus more here. That way, income can be increased even if times are tough or conditions start to shift. Short sales and other bank owned properties can also provide assistance during market fluctuations. Many people still face financial trouble, so agents could help them sell and find new living arrangements or become investors themselves and purchase these homes for a good deal.