After several years of working in the home renovation industry and being on both sides of the remodeling process, I’ve come across several items that make a substantial difference in the end
Looking Back At 2018 Real Estate Market
There were a number of things that effected the Market in 2018. Our Industry is changing right before our eyes from online to artificial intelligence. The biggest change is these numerous models of Brokerages that are completely different than the traditional style such as Open Door, Offer Pad, Zillow Offers and ibuyers. These companies have changed the way we buy and sell real estate. For example Offer pad's website will send a home seller an offer within 24 hours. If home is accepted, they'l pay cash within ten days. Although they make the selling process less complicated and quicker than normal there is a big price to pay and that is your money. In fact, their algorithms are designed to create a spread between their offer price and the expected resale value. The most alarming part is the homeowner is paying significantly more by selling their property for less than market value and they have no representation. Without a knowledgable realtor overseeing the entire transaction the seller or buyer places themselves under great risk since they have no fiduciary duties because they eliminated the Realtor they have no recourse.
In 2018 interest rates started hitting all time high coupled with high home values. This has been causing a affordability issue especially among first time homebuyers. Therefore, this has lead to a stagnant market that I believe will continue in 2019. The interest rates will continue to adjust higher and a market correction is non avoidable. This will reduce the price of homes.
In 2018 statistics are showing that seniors are outnumbering the population and are moving out of their large homes that they sustained during their working life to smaller properties. This is going to create a large market with assisting seniors sell their properties and getting them into another form of living.
Another trend that keeps continuing is that buyers no longer want those large luxury homes anymore and therefore the luxury market will continue to decrease. Coupled with people having a desire
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