With Remote Employment Growing Ever-More Popular, Real Estate Investors Should Anticipate a Few Shifts
Remote work has been a hot topic for several years, but in the face of the Covid-19 pandemic, the reality of a workforce dominated by remote employees has become more and more plausible. As businesses and employees alike seek strategies to cut costs and reduce exposure to potential pathogens, how will the real estate market be impacted?
Commercial Real Estate
Let’s start with the obvious: As more employers open up the option for employees to work from home, less office space will be required to keep businesses afloat. This means that commercial real estate investors will need to get smart and selective about what kids of properties they’re betting on. Work on understanding the needs of business owners in your area and try to stay ahead of the curb on supplying the types of properties employees are asking for. For more information on what this might look like in practical application, check out this Regus article.
Residential Real Estate
Residential real estate investment is where this conversation gets really interesting. What happens when people are spending more time at home, without being prompted to commute? A few things:
- Without the draw of being closer to work, residents of large cities are likely to consider moving further out of urban areas in order to reduce their expenses, thus improving housing inventory in metropolitan areas.
- Homeowners may consider looking for new properties with better office space and/or outdoor space.
- Similarly, home owners may also be increasingly interested in amenities—”nice to haves” like home gyms or swimming pools may become “must haves” in certain areas.
- Potential buyers may look for larger, more spacious dwellings that allow members of the family to have more privacy at home.
- Availability of high-speed or fiber internet is increasingly likely to be a hot point for potential buyers.
The bottom line is that many families are returning to the idea of “home” as a comfortable, secure place to spend most of one’s time, rather than as a place to rest between shifts at work. And while buying has slowed in many markets at the moment due to strict social distancing protocol and cumbersome timelines, there is great potential for a surge of both buying and selling once the market starts to stabilize again.
Wondering how you can take advantage of this unprecedented opportunity?
Here at Hard Money Lenders, we’re all about helping our clients make big moves that lead to big results. Visit us HERE to learn more about how we can work with you to actualize your 2020 real estate investing goals.