From the 2018 REALTORS® Conference & Expo. in Boston
Recently at the 2018 REALTORS® Conference & Expo. in Boston, many top realtors from around the country shared their predictions for the country’s markets in the coming year. Here are my predictions for the top 5 buyer segments to watch for in the Brazos Valley in 2019:
The Luxury Buyer
There are more wealthy individuals than ever before, over 15.4 million households in North America have or exceed $1mil in assets, and that has major potential to affect us here in the Brazos Valley in the coming year. This is a broad category of buyers, however, and knowing exactly who to focus on is key. An easy way to take the category by the horns is to divide the wealthy buyers into 3 sub-categories: the rich ($331,000 average incomes and with ~$1.8 million available to invest), the very rich ($492,000 average income and ~$3 million investable), and the uber rich ($881,900 average income and ~$18 million investable), in order to better create your goals and game plans for showing property in 2019. I have lived in College Station for 20 years, and the BCS (Bryan/College Station) area has been growing and the real estate market has been growing the whole time. Next year’s housing market is still predicted to grow by 6.6%.
Growing Pains (the good kind)
The A&M RELLIS Campus, slated to complete sometime in 2019, will grow the surrounding market into a prime area in the coming year. Whether you are looking into commercial, residential or apartments, I suggest people start buying land there now while it’s cheaper.This campus will bring a boom of development with it. College Station has been steadily growing to the south in the past few years, but as more shopping centers develop in already populated areas, such as the ever growing Tower Point area and the new Jones Crossing off 2818, I predict land will get more expensive and investors will start looking into the Bryan areas…
The Urban Boomer
About 10,000 baby boomers retire every day (you are only as old as you FEEL, dear reader) and more and more are choosing to retire to a downtown or urban setting, near centers of dining and entertainment. Although the Brazos Valley is generally what would be considered a suburban setting, I predict the revamping & remodeling of late in downtown Bryan will bring with it new townhome-type properties which may appeal to this growing segment. Downtown Bryan has many spaces above businesses for potential flats, as well as the area to grow north, toward Hearn, and east, toward RELLIS. With RELLIS being complete soon, I might bet on downtown Bryan expanding in that direction.
While “Vacation” traditionally denotes a beach, Las Vegas Strip setting, websites and services such as AirBNB and VRBO.com have been changing the game, causing more people to choose to monetize any additional homes or properties that may fall unoccupied during the year, especially during the Aggie football season. This, according to realtors at the 2018 national conference, is an extra incentive for those looking to buy properties with short-term rentals in mind. However, they also warn those buying with that goal in mind to do their homework, since some cities are trying to limit short-term rentals. Be sure to research what the politics or dynamics are in the city they’re buying in.
The International Buyer
Despite slightly shrinking numbers in recent years the International Buyer was still worth mentioning at the 2018 conference. International purchases still comprised 10% of the market this year(cite) with the top three being folks from China, UK, and Canada. While this map was compiled in 2016, it can still be useful for learning just how much to focus on the international markets in your area: https://www.nar.realtor/research-and-statistics/research-reports/state-by-state-international-business-reports
The Shopping Center Buyer
As I mentioned earlier College Station is still steadily growing to the south and towards the RELLIS Campus. Any new student housing for A&M or suburban neighborhoods bring with them large shopping centers like the new Tower Point area. Therefore another good segment to watch in 2019 is buyers who are seeking spaces for businesses or restaurants inside new retail space. Plus, as always inevitably happens, shops will close and leave existing shopping centers in 2019. This may be good for buyers looking for more established spaces. Regardless of new or old, 2019 will bring plenty of open retail spaces for College Station.
Original article: https://magazine.realtor/live/article/2018/11/5-market-segments-to-watch-in-real-estate-in-2019?tp=i-H43-Bb-39e-5gJVY-1p-DCSQ-1c-5gFkl-27SwRS&om_rid=83966448&Om_ntype=TBRhotsheet&om_mid=12130
Amy Chorew, vice president of learning at Better Homes and Gardens Real Estate in Madison, N.J., and Robyn Erlenbush, a broker-owner at ERA Landmark Real Estate in Bozeman, Mont. share their predictions for the customer segment in the coming year.