Real Estate Trends to watch out for in 2020
Real Estate is just around the corner and huge developments are supposed to be made in the real estate market. These however have both the combination of positive and the negatives. Various factors would contribute to the rising price of real estate properties.
With the emergence of new buyers, mostly millennials, several developments in the trend can be expected. Most sectors are concerned about increasing house prices which may eventually result in a crash. The global real estate market is sure to undergo a number of changes in 2020.
Some of the trends to watch out for in 2020 real estate market are
In 2018, the real estate market saw a huge decline. This however brought about negative impacts on the market. However, by 2020, it is anticipated that the number of investments would eventually increase. Compared to residential sectors, the commercial or logistics sectors are the most preferred mode of investment. The bullish attitude of investors towards the market has led to low vacancy. The increase in domestic activity has eventually contributed towards the rising investment.
The Slow rise in home prices
Compared to the previous years, the home prices would increase or grow at a much lower rate. As far as home listing is concerned, the increase has only been about 1%. The increased mortgage rates and the uncertainty of the people to hold on to their properties has eventually given way for the increasing home prices. Real Estate sellers can make the most of this situation and earn a profit, although at a slower rate.
Demand for affordable homes
Even today, people prefer taking home for rent rather than purchasing them. Most of the Béatrice Baudinet courtier immobilier suggest that the higher number of rents is because people often look for affordable homes. Several home prices eventually led to people opting for rent. As a result, The slow home shares have decreased at a rapid rate. Nonetheless, the growing population is also leading to scarcity of affordable homes.
Use of new technology
Technology has dominated every area of life and so, it hasn’t left the real estate sector behind. In the coming years, the real estate sector too would grow on with technology. Various high-tech companies have been investing in the real estate sector. Artificial Intelligence would contribute towards bringing about a huge change in the design, management and organization of building or area. Most of the property owners are turning to facility management solutions so that they can handle their property on own.