The real estate market is constantly changing and evolving.
As a homeowner or investor, it’s important to stay informed of the latest trends to make sure you’re making the best decisions for your financial future.
In this blog post, we’ll explore some of the top real estate trends to keep an eye on in 2023.
Keep reading to learn more about what the future may have in store for real estate.
THE RISE OF ‘URBAN EXODUS’:
As cities around the world become increasingly crowded and expensive, many people are choosing to move away from urban areas in search of more affordable and livable communities.
This trend is often referred to as urban exodus and is expected to become even more popular in 2023.
People are looking for opportunities to live in rural areas with better schools, lower taxes, and less congestion, while still being within reach of the city amenities they love.
This trend has already been seen in some rural areas and small towns but is projected to expand into more areas as more people look to escape the hustle and bustle of city life.
Those looking for an escape from the noise and busyness of urban life will find the beauty and serenity of the countryside a welcome change.
From larger homes with more land to charming small towns with a slower pace of life, these rural locales offer an ideal lifestyle for those looking for peace.
As such, real estate investors will want to keep an eye out for potential properties in these areas that could be highly sought after in the future.
SELLERS TO RULE THE HOUSING MARKET:
2023 can witness sellers gaining momentum in the upcoming housing market. Due to growing demand and limited supply, it is anticipated that home prices will rise for some time. People from Generation Y are likely to make their first real estate investment. As a result, there can be a rise in the demand for residential and commercial buildings.
INFLATION TO HIT THE HOUSING MARKET:
The U.S. inflation rate was 7.75% as of October 2022.
Since the 1980s, inflation hasn’t been this high. By October 2022, rent had increased by 7.5% from 2021.
An average tenant paid 7.5% of the rent in October 2022 compared to the previous year. The ever-increasing price has not only impacted affordable and employee-centric housing options, but also the market price.
Many employers, especially IT companies, are concerned that their entry-level employees will be struggling to afford housing near Silicon Valley.
THE “SUBURBAN LIVING” TO GAIN MOMENTUM:
As we look ahead to 2023, one of the major real estate trends we’re expecting to see is a resurgence of interest in suburban living.
With more people looking for affordable housing options and a greater emphasis on outdoor recreation, many are opting to relocate away from city centers to quieter suburban neighborhoods.
Suburban communities also offer several amenities, such as nearby parks and trails, as well as a lower cost of living compared to urban areas.
If you’re in the market for a new home in 2023, consider investing in the suburbs.
EXPERIENCE A NEW “RENTAL REVOLUTION”:
As we look to the future of the real estate, one trend that is becoming increasingly popular is the rise of the rental revolution.
With many people opting for flexibility in their housing situations, renting has become a great option for those looking for an affordable alternative to buying.
This trend is on the rise and shows no signs of slowing down in 2023. With the right knowledge and advice, renters can make the most of their rental situation and create a great living space.
THE “DIGITAL NOMAD” TO RULE THE TREND:
As the pandemic continues to affect our lives, a new phenomenon is emerging in the real estate market – the rise of the ‘digital nomad’.
A digital nomad is someone who works remotely and relocates regularly, often taking advantage of lower cost-of-living areas to save money. This new way of living has been enabled by increased access to reliable high-speed internet, allowing people to work anywhere in the world with minimal disruption.
As a result, many people are beginning to explore remote locations and search for property investments that can offer them an affordable lifestyle and a place to work from.
The rise of the digital nomad will have a huge impact on the real estate market in the coming years.
The Bottom Line:
It’s important to stay informed on real estate trends and what the market will look like in 2023.
Knowing these trends can help you make the best decisions for your real estate investments, whether you’re a first-time buyer, a seasoned investor, or looking for your dream home.
With the right knowledge and guidance, you’ll be well-prepared for any changes that may come in the future.
Blog articles are purely for educational purposes and provides generalized information of the topic(s) covered. These articles should not be considered as legal advice.