The year 2021 is an interesting time for real estate as we’ve entered an age where the industry is being completely overhauled due to the impacts of the pandemic. Indeed, the housing market has always been a fickle beast, and no one knows that better than real estate agents and brokers. Likewise, the industry is constantly evolving, and in the next few years, there are a few trends on the horizon of which you should be aware.
Increased Development of Public Open Spaces
Everyone knows that one of the best ways to invest in real estate is by buying up public spaces that people frequent, such as parks and lots. But now more than ever, there’s a need for developing new public spaces so people have outdoor spaces to visit after being cooped up inside for so long.
As a result, there’s more need for outdoor space as a result of the pandemic. Since a lot of people are spending more time indoors than ever, they’ll have to find new ways to pass their time. Many people try to spend as much time outdoors as possible, so they can reconnect with the outdoors in some way.
A Decline in Storefront Retail
The number one trend that’s shaping the real estate market in 2021 is the shift from storefront retail to online retail. More people are spending more time online, so fewer storefronts stay open. Many store owners are finding it difficult to maintain their brick-and-mortar stores while eCommerce is taking over.
Suburban Migration is Increasing
The number of people moving to the suburbs is on the rise. With urban areas becoming more congested, new ways to live that are both big on space and cost are cropping up. Many employees will continue to spend less time at the office and more time at home, only needing to go into the city part-time.
Residential Investment Prospects Grow For Vacation Homes
The growing number of people leaving the city means more people are looking for other accommodation. Many will look for a second home in which to vacation, and this could include owning a new secondary residence somewhere in the country.
Single and Multifamily Housing Prices Expected to Plateau
Housing prices continue to increase in most major Canadian cities, but a recent report from BMO indicates that prices are expected to plateau over the next few years. The report indicates that prices are not expected to rise significantly, as mortgage rates remain low, and the country is still in the midst of an economic upswing. Additionally, housing construction is more limited due to the high costs of building materials and labour shortages.Want to know what else is coming up in the real estate market? Get in touch with Martin McFarlane today.