2018 REAL ESTATE TRENDS
Move over and make way for the Millennials. As they move into their mid 20’s and 30’s, Millennials are getting better jobs and making more money. The latest housing trends show Millennials made up 34% of homebuyers last year and could account for up to 43% this year. While it seems like Millennials just showed up on the scene of home buying, the next generation (Generation Z) will be hitting the post-college housing market by 2020.
We all remember the housing market crash between 2007 and 2009. During that time, over 10 million people were pushed into foreclosure. As these people re-enter the housing market, they are being called “Boomerang Buyers” and over 1.5 million are predicted to come back this year.
“Crowdfunding” and “Peer-to-Peer Lending” are the new buzzwords of the investment world. This segment, called “fractional investing”, allows a large number of people to each contribute a small amount of money towards the same investment or loan. With a number of popular websites gaining momentum, this group looks ready to make an impact on the real estate financing scene in the near future.
Smart home technology is moving in. Homeowners across all generations have shown some level of interest, but one in four Millennials are already using at least one smart home product in their home.
Of course, the two most important trends to track in any housing market are price and volume. So far this year, Ouachita Parish median home sale prices are up three percent to $170,000 and total sales volume is on pace to hit $255 Million.
I hear economists refer to the national housing market all the time, but what makes up our local housing market? In case you didn’t know, Ouachita Parish contains 68,000 dwellings including apartments and houses with 40% being rental units. The rate of new home construction has been averaging over 500 homes per year, but is currently down and on pace to hit 300 homes in 2018. (Source: U.S. Housing and Urban Development & Census Bureau).
ON THE LOCAL SCENE
RETAIL CENTER at 2770 Louisville Avenue, Monroe sold for $1,650,000 ($171 per square foot).
BLUE CROSS BLUE SHIELD OF LOUISIANA purchased a majority share in Vantage Health Plan including the Monroe Surgical Center at 2516 Broadmoor Blvd, Monroe.
Ryan Roark, CCIM is the Owner and Managing Broker of Tri State Properties. He may be contacted at 318-348-5815.
***PUBLISHED in the Ouachita Citizen on November 1, 2018***