2020 looks like a year that will start to see a bit of a shift in the real estate markets with a few new trends starting up. Inflation has certainly made itself felt in the market with the average price for a single-family home now being around $284,000. And with different consumer habits coming from younger millennial homebuyers, things may be a little different for future home sales. But what exactly will this look like?
The Growth Of Retirement Communities
With life expectancy becoming longer, an aging baby boomer generation and the usual preference of downsizing homes for them, the senior living communities are likely to see their demand rise. Some may simply want to sell off their current homes and downsize to a small housing unit, but many prefer to live in very active communities around like-minded people. The challenge they may have is selling their current homes to new buyers with housing market costs rising across the nation, although mortgage rates are also expected to decrease in 2020.
The Emergence Of The “Hipsturbia” Trend
There are new preferences millennials have when it comes to the kinds of housing they’re looking for, and what their neighborhood will look like. Disrupters in the rental housing market such as Airbnb rentals and co-living spaces have already begun to make their way into some of America’s major cities, but another neighborhood trend known as “hipsturbia” has also come about. This kind of neighborhood is a little like the traditional suburb, but housing tends to be much closer to retail stores, public transportation hubs and has a lot more sidewalks and walkways. The preference for millennials has been to save money on gas costs and long driving distance and live in communities that bring downtown housing into these suburban settings.
Smart Home And New Real Estate Innovations Are Emerging
Those who want to sell their homes without having to go through the long tedious process of listing and taking prospective buyers through the home have now started to use iBuyers. These are essentially third party buying companies that buy the home directly from the seller, and then later resell it for a profit. But even more importantly, smart home technology is also growing in demand and can greatly affect a home’s value.
This article was originally published on JasonCohenPittsburgh.org