The 2023 real estate market wasn’t the rocket ride of the past few years. While home prices were still running higher and higher, there was some slowing down noticed. Rising mortgage rates meant that buying a house became more expensive, so fewer buyers were interested in investing. On the bright side, the number of homes on the market started to increase, giving buyers more options to choose from.
2023 was definitely a whirlwind for the real estate market but thankfully, no major crashes happened. We are still adjusting to the ups and downs of this year, but here are some upcoming trends to watch out for!
What’s Coming for 2024?
Looking ahead to 2024 in the real estate world, things are a bit different than what was planned. Last year, the idea was to deal with risks and get ready for a time of growth. But now, top folks in the industry see that the way we work is changing. Many folks might not be going back to the office as much as before, or maybe not at all. This doesn’t just affect office folks but also the areas around offices and other parts of the property market.
There’s also a new reality check: interest rates are likely to stay high for a year or even longer. Even though investors want to buy new properties, the actual buying and selling of properties have slowed down. Why? Because it’s hard for people to agree on prices when there aren’t many sales happening.
On a positive note, the people surveyed think the worst part of inflation (prices going up) is behind us. This could mean that the people who decide on interest rates might not raise them as much.
Top Trends in the Real Estate Market for 2024
1. Smarter Real Estate Teams:
What’s Happening:
Real estate teams are getting smarter thanks to new technology like computers that can learn and special software. This means they can do their jobs better and don’t need as many people on their teams.
What it Means:
Think of it like having a super-smart helper on the team, maybe a computer friend, who can do some of the work. Real estate agents might have these tech helpers to make things easier.
2. People Like Smaller Homes:
What’s Happening:
More and more people are interested in living in smaller, modular homes. These are like houses that can be taken apart and put together in different ways. This change might affect how real estate agents earn money.
What it Means:
Real estate agents usually get paid when they sell a house. If more people want smaller homes, it might change how much money agents make. Also, there could be computer helpers (AI agents) helping people buy and sell homes.
3. Personalized Advice Using Data:
What’s Happening:
Real estate experts are using fancy computer programs to understand what people like and want. If you’re looking for a home, they can give you advice that fits your personal preferences.
What it Means:
Imagine if the real estate agent knows exactly what you like in a neighborhood. They could give you advice based on how your needs change over time, like if you go from being single to having a family. It’s like having a real estate guide that knows you really well.
Dee Rasberry at D Realty and R1 of New Mexico is constantly researching, learning and keeping up with market trends. She can provide you as a home buyer or seller with information and tips to get the best deal for your money. At D Realty, we love homes!! We also love our clients and have their best interests at the forefront of every transaction. Contact Dee and D Realty to see how we can help you.