Monthly Archives: April 2019

What’s Changing in Corporate Real Estate in 2019 – The Emerging Trends

What trends will be rippling across the commercial real estate selling sector in 2019?

Commercial Occupants are Thinking ‘Smarter’

As with residential real estate, commercial real estate tenants are turning to smart, tech-enabled designs to help them control costs, boost productivity, and improve occupant experience. Outperforming older buildings, new technologically advanced buildings are meeting the societal need to be a part of the ‘internet of things.’

For example, they’re incorporating systems that support a mobile work style and responding to occupants’s needs such as lighting, temperature, and even inventory supplies via smartphone apps and sensors. Expect entire buildings to soon be built from the internet up as this trend builds and businesses start shopping for better buildings.

Also, look for the owners of older buildings to boost their chances of real estate selling success by remodeling and retrofitting older structures.

Cohabitating and Co-Working

People will continue to look at the workplace as a service, much like a hotel, increasingly embracing the co-working concept. WeWork and similar ventures are setting the standard for such co-working spaces. Today’s users have expectations on what they should offer, including features like plug-and-play desks, collaborative workspaces, community programming, and amenities.

Corporations are on-board as well, looking to co-working for flexibility not seen in traditional leases, and leaning on co-working spaces when they need to contract, expand, or test a market.

More Balanced Design

Shifting from extremely open layout plans and restricted square footage, today’s companies are acknowledging that placing everyone from the CEO to clerical workers in an open-plan space doesn’t always work, sending workers to hermit in conference rooms and closets to find focus and quiet.

Today’s offices are being adjusted to accommodate activity-based workspaces instead and paying closer attention to workplace design as it relates to employee tasks.

Commercial real estate selling confusing? Stay current with the latest trends and tech with the help of Properties Online today.

What's Ahead for 2019?

What’s Happening with Real Estate Sales in 2019 – What to Know and Expect

Will 2019 see a repeat of last year’s mammoth price gains? Given the current economic climate, here are a few real estate trends to be on the lookout for from financial guru Dave Ramsey.

Trend 1: More Slowly Rising Prices; Less Offers

In 2017-18, housing prices jumped a whopping 10%. This year is expected to slow dramatically to a minuscule 1%. This slow down is due to a combination of rising mortgage interest rates and overall economic uncertainty, which will discourage buyers ‘on the fence.’ 

In the 2019 market, buyers need to come to the table with a firm idea of how much home they can afford in today’s pricey market. Sellers need to understand that buyers are being priced out of the market, which makes finding the right listing price integral to success. Beware of lowball offers, holding out for a better offer when not rushed.

Trend 2: Rising Mortgage Interest Rates

A strong economy and rising inflation are pushing interest rates higher. Higher rates will slow down the process for sellers, who will see fewer offers and longer sales times as the hikes make buyers pause. For buyers, though, rates are still relatively low, with fixed-rate options helping lock-in monthly payment costs.

Trend 3: A Millennial Buyer Majority

Millennials do their house-shopping homework, beginning online. They opt for quality over size, efficient/smart homes, and prefer ‘18-hour city’ locales with public transportation access. Sellers with homes not catering to this mindset can expect lower offers or for millennial buyers to look elsewhere.

For millennial buyers, competition for a 3-bedroom single-family home in the burbs is fierce. To increase the odds of success, buyers should know ‘must-haves’ in advance and include a personalized ‘story’ letter with photos to stand above the competition.

Don’t let real estate trends take you by surprise. Stay on top of the latest market expectations with the help of Properties Online today.