Real Estate Trends to Look out For in 2019

By December 31, 2018 Blog, Investing
Real estate investors discussing the Phoenix Real Estate Trends of 2019

While no one can predict exactly what will happen in the fast changing real estate market, there are some trends that will make a huge difference in how real estate investors in Phoenix do business in the next year. Following these trends or even being able to capitalize on it can make or break it for investors in the upcoming year.

The Phoenix Real Estate Market Recap

The real estate market in Phoenix couldn’t be any hotter. The largest contributor to the real estate boom is migration. In fact, the Phoenix biz journal reports: “Maricopa County saw more people move to the area than any other county in the U.S. during the past five years.” Many suspect the cause for such large migration is the low cost of living and high employment opportunities. With such a large population moving to Phoenix, housing and rentals have had an amazing year, with higher average home sales and higher but affordable rents becoming the norm.

 

2018 was a great year for real estate investing. According to Trulia.com Phoenix had a great year in home sales, last years highest average home sale price was $289,000,  2018 saw a peak average sales price of $320,000. With over $30,000 dollars upwards value of home sales in the year that bodes well for Phoenix ’s real estate market. Home average and average listing prices have continually increased in the past year.

 

Rentals are stronger than ever, with a number of units available and average rent price steadily increasing over the past year. Some rentals saw an increase of over $300 per month in rental cost, which was booming for those real estate investors with rentals already in place. Real Estate Trends to Watch!! Rental investments are expected to increase in 2019.

Millennials: The Next Generation of Real Estate Buyers

With the large influx out of state, and booming job markets real estate experts are turning their eyes to millennials. Real estate investors can use the newest generation of home buyers to open new opportunities, with beautiful rental properties, or even flipped homes ready for first-time buyers. While renting is still preferred by the majority of millennials, a big shift is underway as the market booms. In fact, many experts believe that over the next 5 years millennial home buying is expected to dramatically increase, as student debts lower and older millennials get settled into their careers.

Social Media, The New Marketing Tool For Real Estate Investors

Real estate trends to keep an eye on next year is social media. Millennials are the next generation of first-time buyers, and realtors set on old tactics to sell homes or raise awareness will be left in the dust if they don’t adjust their social media habits. Instagram is predicted to be the best sales tool for real estate investors, with high engagement, in fact connecting to potential buyers as soon as possible is key for real estate investors. Facebook, while still the top social network to use. The launch of facebook marketplace makes listing homes and rental properties easy and helps clients find you faster. Social media selling has been on the rise for the past few years, but in order to reach the next generation of home buyers, traditional marketing methods aren’t going to cut it anymore.  You can read more about how to optimize your social media habits here.

More Investors Using Hard Money Loans

More and more real estate investors are needing fast access to capital to fund their investments. With such a fast-changing market, waiting for funding is the last thing that investors have to worry about. With the real estate market boom in Phoenix over the past year, paired with a strong job market, the market has never been better for real estate investors. In fact, many real estate investors have been taking advantage of undervalued properties and updating for a high return on interest. Hard money is not new, but many first time investors are using them. Knowing these real estate trends and using them to your advantage to make 2019 your year to invest.

With real estate investing becoming as risk free as possible, more and more investors have been turning to hard money loans. Hard money loans help investors close quickly on properties and afford crucial updates to maximize home value. Hard money loans make real estate investing easy, with fast asset-based loans made by real estate investors, to fund all the special situations real estates investors face every day. You can learn more about hard money loans here, and apply for a hard money loan for your property today.  

 

Prime Plus Mortgages

Prime Plus Mortgages

Prime Plus Mortgages is a licensed hard money lender. We specialize in hard money loans, bridge loans, fix and flip loans, home rehab loans, for developers, property flippers and buy-and-hold strategists. HML programs make private money available for small to medium scale projects.

Translate »