The real estate market in 2014 will offer multiple business opportunities for Realtors, commercial buyers, and investors. Investors may may have to accept the reality that the wonderful bargains that were available during the height of the recession are largely gone; but that doesnâ€™t mean prices have returned to their 2007 peaks.
There are still good deals to be had for buyers who are patient and smart; they just may be harder to find. Real estate agents should cheer the news that depressed prices are no longer driving down their commissions; they can probably expect to close many more sales in 2014, if they play their cards right.
So far, however, commercial property sales continue lag behind residential deals, although thereâ€™s a possibility that might improve by the end of 2014.
How investors can adapt in the current environment
The back inventory of foreclosed homes has significantly decreased, which has caused home prices to rise in regions where they have been depressed for the past few years. Fewer distressed owners means fewer short sales, so investors have to work harder to spot houses that offer the potential for a big profit.
There will probably be fewer-fixer uppers on the market in 2014, but easier lending rules should still provide enough incentive for investors to compete for the ones that do show up on with a sales tag on them. Some areas across the country have been slower to recover than others, and that offers investors a chance to capitalize on lower prices, as long as theyâ€™re not tied to a specific state. [Read more…] about How the Real Estate Market is Shaping Up for 2014