I recently read a very interesting article published by the National Association of Realtors (NAR). The topic was “The Future of Real Estate” Like so many other industries, both locally and globally, we are in a dynamic and fast paced mode. Real estate has its own unique set of circumstances that affect us on a national level all the way down to a hyper local level. All the way down to one house, on one block, in one neighborhood, in Sun Valley, Idaho. Here’s a recap of a few of the trends.
1. Real estate is converging on a mobile, social, local platform. This is a major transformation that could have as much of an impact as the rise of the Internet in the 1990s, bringing changes in prospecting, marketing, showing homes, obtaining financing and perhaps even closing the transaction. In an era of constant motion and global connectivity, real estate professionals will able to provide local service from almost anywhere and at any time.
2. The overall health of the real estate market for next few years will depend on the national economic landscape, including creation of new jobs, housing stimulus programs, mortgage rates and consumer confidence. At this point, there are an unusually high number of uncertainties that make it difficult to predict future business conditions. Therefore, real estate professionals will need to monitor the impact of those broad trends on their local markets, and join together, when appropriate, to be sure that policymakers continue to hear the voice of real estate.
3. All participants in the real estate industry need to re-examine their value propositions to meet the fast-changing needs of their customers. For instance, agents may need to walk first time buyers through complicated local or state incentive programs, as well as show the physical property. Brokers and associations may need to focus on social networking training rather than traditional prospecting strategies. MLS organizations may need to consider promoting the quality of their property information as a “brand.” Advances in technology and shifts in consumer behavior are changing the traditional role — and the perceived value —of real estate professionals.
Finally, it is apparent that the rate of change in real estate, and the overall business world— is accelerating. Today’s technology may be tomorrow’s trash. Consumers may flip from one behavior to another. And real estate professionals may adjust their priorities as well. But change continues to create a host of new opportunities throughout the industry. As one broker said, “Real estate has been defined as a sales industry for 40 years. Now, we have a chance to redefine ourselves beyond the transaction.”
What changes and trends are we seeing in real estate in Sun Valley, Hailey and Ketchum? What is unique to our local & dynamic market that is driving us forward? Relocation buyers, second home owners, vacation properties and existing residents, both renters and current home owners? Where are they coming from and how do they gather and process information? These are important things to consider. Call me …or email, tweet, text me or just leave a message on my Facebook wall. But don’t fax me. I pretty much unplugged that old dinosaur.