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Real Estate in Real Time

Property Trends Article – 11 Nov 2013

Real Estate Issues

Published on www.e-architect.co.uk

Emerging Trends in Real Estate include a renewed focus on the so-called Millennial generation. However, this group isn’t forming new households, and they’re not buying as many properties as their parents’ generation were at their age. Investors, developers and builders are losing some interest in the major cities such as New York City and San Francisco.

The slow pace of job growth as well as income and wage growth is still holding back the real estate recovery and this isn’t likely to change quickly. With rapidly rising demand for apartments during the recession – boosted by increased demand from homeowners-turned-renters – multi-family building surged. But that’s likely to quiet down in 2014, as supply and demand have swapped places. There may even have been too much multi-family building in 2013.

Via: iContact

The recovery in the condo market hasn’t matched that of the single-family market, and developers aren’t willing to take the risk on putting up new condo buildings.

Instead, builders and developers are taking a dual-track option: They build a rental apartment building with an eye on switching it to condos in the future, depending on market conditions. High-end apartment buildings are also proving problematic for developers, as the interest from well-heeled potential renters simply hasn’t been consistently strong recently.

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photo : Daniel Hopkinson
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