The year 2019 is fast ending and there will surely be some newer trends in 2020 but it is advisable to know some of the trends of 2019 to do well in 2020 because it is very likely that some of them will pass on to 2020 and moreover some of them are still trending and very much in place. “The idea of knowing latest trends lies in the fact that they help you to focus on things that can work for you and are in fact, working for thousands of the investors out there” as quoted by Jason Freskos, the CEO of famous real estate lending company.
Some of the trends that we are witnessing in 2019 and which will still be relevant in 2020.
Impact of Crypto Currency
Crypto currency is a pseudo currency created to act like any other means of exchange and it operates through block chain networks. It has disrupted several industries including real estate. The increased use of crypto currency has made a huge difference as it has increased the speed of the entire transaction process. In doing so, block chain networks ensured to reduce the number of intermediaries required when closing the deal resulting in quicker real estate transactions and smoother closing processes.
The increased speed of transactions through crypto currency also led to increased liquidity of assets and hence its role will also increase in the coming years. People like Jason are providing capital to investors without wasting their energy as their lending of capital is quick, unlike traditional banks.
Technology on the rise
Technology has a huge role to play in the property dealing and there is an ever-increasing home selling platform, apps, and even smart home technologies and we are seeing an increased presence of tech firms and startups catering to the industry. Artificial intelligence is on the rise like never before as we are realizing the potential for AI technologies in building management, organization and design and new AI technologies are aiming to increase security and efficiency throughout the real estate industry.
Priority to sustainability
We have a lot of positive talk about prioritization of sustainability and it is more urgent than ever before. There will be better building and construction practices in the coming years as several new environmental types of research are going on which will lead to a decrease in the environmental impact across the housing industry.
We will see several investors expecting potential buyers to seek out more green-friendly properties and hence they should focus on sustainability by choosing energy-efficient home appliances.
Mortgage Interest rates are rising
Mortgage interest rates are on the rise after years of being at a standstill and are projected to increase to an average of 5% for a 30- year mortgage and 4.4% for a 15- year mortgage.
Conclusion: 2019 is fast ending and we are ready to welcome 2020 but this year witnessed some Real Estate trends which are very likely to be seen in the coming years as well. Some of them that we are witnessing this year; some of them are very much place even now and some will be more relevant in coming years includes the impact of cryptocurrency as it increased the speed of real estate transactions, technology is on the rise as we have an ever-increasing home selling platforms and apps, the prioritization to sustainability is considered highly by choosing green building practices and mortgage interest rates are on the rise. Some of the leading people in the capital lending industry such as Freskos are doing their part to make the path of the investors smoother by introducing efficient money lending methods.