What a year 2018 was.
Government initiatives, price corrections and affordability issues were all brought up at one point during the year.
2018 saw a lot of change, but there’s still plenty more on the way in 2019.
Keeping these trends in mind will allow you to be in the best position to enter the market and also get the best value possible for your property.
Here are five real estate trends you need to keep an eye out for in 2019.
New ideas and continuous innovation will disrupt the current real estate market. These disruptions change how people live, work and decided to shop for real estate. Real estate owners, investors, developers, managers and service providers need to stay on top of these changes and adapt to it.
This isn’t a new issue for residents across Metro Vancouver, but it is one that’ll stay relevant for the foreseeable future. The market has slowed down considerably and yet there’s still a need for affordable housing. Many people have moved further away from Vancouver to find affordable houses. It’ll be interesting to see if the market slowdown will bring people back to Vancouver, or will the trend of moving eastward still remain the same.
Millennials will continue to make up the bulk of first-time homebuyers, and most of those looking for homes use the internet to research properties. Homebuyers are using Google to type in a few keywords to search up properties that will match what they’re looking for. Hashtags, locations and targeted ads are all tools that can be used to market real estate.
Facebook, Instagram, Twitter, Snapchat and YouTube are all platforms that millennials and other homebuyers go on to look for real estate. Having the best photos and videos are absolutely essential to make a good first impression.
If you’re a real estate agent and you’re not only social media already, 2019 would be a great opportunity to slowly get online.
From a year ago, real estate prices are down considerably across British Columbia. New taxes, more inventory and higher interest rates are all having an effect on the market says numerous experts. This past fall, the Real Estate Board of Greater Vancouver reported a nearly 43 per cent decrease in sales of condos, townhouse and detached homes in November, compared to the same month a year before.
Higher Interest Rates
The Bank of Canada steadily increased key interest rates throughout 2018. Since the summer of 2017, they have increased interest rates five times. Future interest rate hikes will depend on factors such as how long oil prices will slump, how businesses continue to grow and how much more the economy can grow.
So what does this mean for real estate markets?
Getting a mortgage from the bank will now have more interest on it for you to pay. This has financially squeezed homeowners and aspiring homeowners across the country. It’s important to speak with an advisor and make sure you have all the information you need before getting a mortgage.
Featured photo: dronepicr / Flickr