_{SOURCE: explodingtopics.com}

Real estate investors, are you ready for what’s coming in the next few years?

Here are six key trends that will shape the real estate market from 2023-2025. Don’t be caught off guard, read our latest blog post to stay ahead of the game.

1. House Hunting Goes Digital

The pandemic accelerated digitization across all sectors. Due to the pandemic and the competitive housing market in 2020, some buyers purchased their homes without stepping foot inside first. Many were able to do virtually tour property due to virtual capabilities

2. People Move From Cities To The Suburbs

The COVID-19 pandemic has fueled migration from major cities to the suburbs. The two underlying reasons for the shift are necessity and choice. Those who cannot afford to stay are moving out of necessity. While the wealthy are relocating by choice.

3. The Sun Belt’s Popularity Continues To Rise

As Americans shift out of big cities, one destination they are moving to is the Sun Belt. The pandemic reinforced the increasing popularity of the Sun Belt, which is expected to persist for the foreseeable future. The Sun Belt is the swath of the US that stretches from California to North Carolina and encompasses 18 southern states in between.

4. Single-Family Housing Demand Creates Shortages

The migration from cities to suburbs is resulting in growing buyer demand for single-family homes. Searches for single-family homes were at their highest rate in four years in 2020, according to Redfin’s chief economist.

5. Home Prices Continue To Rise

Due to the increased demand for single-family homes and dwindling supply, prices for single-family homes shot up in 2020 and are expected to remain high in 2023 and beyond.

6. Rental Property Market Declines

The migration out of big cities has resulted in the highest apartment vacancy rate since 2010 and declining rental prices. While rental vacancies are increasing in major metropolitan areas, demand for rental properties is actually going up in mid-size and smaller cities around the country as the demand for homes in these areas outpaces the supply.

Start preparing for the future of real estate!