2020 was a strange and challenging year for many business sectors including real estate. The COVID 19 pandemic led to a shortage of construction workers and a decline in the sale of residential and commercial properties.
However, as a result, the real estate sector is coming up with a variety of options to make recoveries from the losses experienced in 2020.
Some of these trends will lead to its domination, and they include:
The majority of the people who lost their jobs were low-income earners and this saw most of them leave the cities in search of affordable housing.
From this lesson, there will be an increase in more affordable housing, especially in the urban areas where most jobs are situated. Equally, more governments are pushing the affordable housing initiative to provide better homes for low-income earners.
For the average income earners who were reluctant to purchase homes, this is the best time to make that investment as developers are trying to clear pending inventories at affordable prices.
People are also realizing the importance of giving themselves and their family’s health safety, security, and privacy so most will be making purchases in 2021.
Once the pandemic hit, most people stayed indoors, and technology became a big part of our lives. For this reason, there is an increase in demand for smart homes and there are no signs of letting go of the technological embrace.
There is an increase in demand in homes with well connected, high speed, and high-bandwidth internet. This is because there is more use of virtual platforms to conduct meetings, streaming, and use of social media.
Equally, the real estate sector has felt the digitization impact in terms of virtual tours, capital deployment, transactions, and property management.
Working from home has become the norm to promote social distancing, and even once the pandemic is over, this is a trend that will last. For those working from home, there will be no need to commute, further reducing the need for renting or purchasing homes near their places of work.
Therefore, there is an increase in demand for homes located in the periphery. This is because more people are shifting to the outskirts in search of affordability.
Many luxury home developers are now looking into new strategies to expand outdoor spaces and include office spaces. As a result, they have to go back to the drawing board to redesign homes and include amenities like smart technology, filtration systems, and aluminum composite panels from Multipanel UK.
After being home and away from the city, many home buyers are looking to get that lifestyle change that allows for outdoor activities, thus home redesigns are attracting more attention.
Bottom line
The construction sector is growing in different ways to incorporate the lifestyle changes experienced in 2020 due to the COVID 19 pandemic. More developers are digitizing properties to allow people to work from home, expanding outdoor spaces, and floor plans to include home offices.
Also, due to the surplus inventory in the cities, there is an increase in affordable housing because more people are moving to peripheral locations. Therefore, 2021 is the year to invest in real estate.
