5 Housing Trends of 2013

A good real estate investor needs to stay ahead of the trends that could dictate buying and selling habits for the coming year. The world’s economy is still in turmoil, so that means that investors will need to be savvy to make a profit in 2013. There are several investing trends in the housing industry that will create challenges and opportunities for developers in 2013.

Rents Will Go Higher

Higher Rent

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When real estate investors watch for trends, they need to keep an eye on everything that could affect the housing market. As baby boomers head for retirement, their children will start to enter the workforce and they will need places to live. As a general rule, when there is an influx of younger people into the adult population, that causes a run on rental properties. That means that investing in apartments and other popular rental options for young people is a good move in 2013.

Consider Property Management

Property Management

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Real estate developers who are looking to find new revenue streams may want to consider taking up property management. Since the number of renters is expected to rise in 2013, the amount of rental properties will also increase. That means that property owners will need management companies to take care of their buildings and their tenants. This would be a tangent business to start that could take off right away.

Existing Properties Will Become Valuable

Valuable Property

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The rate of new residential homes and apartment buildings being constructed in the United States dropped in 2012. That means that people will be looking to buy or rent existing properties in 2013. While investing in home building is one of the strengths of the American economy, the savvy investor will also want to find ways to purchase existing properties as rentals or to resell. That means that house flipping will be on the rise in 2013.

Bigger Homes Are Back In

Bigger Home

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When the world economy took a nosedive in 2008, the idea of owning a large home suddenly soured for much of the population. But now that the economy is slowly starting to recover, people are starting to think about moving up to a larger home. Real estate developers that have larger homes for sale in 2013 could see a spike in sales as the year moves along.

More Buyers On The Horizon

More Real Estate Buyers

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The mortgage industry learned a lot of lessons in 2008 and one lesson is that the economy needs new mortgage approvals to keep growing. With recovery comes new mortgages and that means more potential buyers for your properties. In 2013, the proactive developer will become very aggressive about finding buyers for his empty properties.

For many years, the housing industry took a huge hit from a down economy. Now that the world is starting to slowly climb out of the worst recession in 80 years, it looks like the time has come for real estate developers to start cashing in on the opportunities. In 2013, you need to be able to identify the trends in order to make the profits that are out there waiting to be made.

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