The real estate industry has been growing and surveys done by some of the best analysts in the industry like Jeff Adams; show that there is an increase in real estate investor optimism in the industry. The future is promising as real estate prices are on the rise and will continue to be towards the end of 2015. New trends have been emerging in all aspects of real estate including construction, entry and growth strategies.
Construction and cost saving
Building materials have become very expensive in most real estate markets leaving most investors especially the ones with limited financing, to come up with ways of replicating designs. This is mostly done by using alternative materials like brick instead of stone. Cheaper but equally durable material like bamboo is currently under use a lot compared to hardwood.
The biggest change witnessed in construction is the shift from the use of brick roof tiles to those made of metal plates that come with different textures and colors. Another popular trend is the use of cement structures that are pre-built for the walls and slabs and joined at the site. This saves about half of the overall construction period that was needed in the past. The cement blocks are more applicable for office blocks and high rise apartments.
Entry and growth strategies
More and more real estate investors are concentrating on foreclosed and pre-foreclosed property because of the huge returns associated with the two. The challenge with this however, is the limited variety because such property arises when a borrower has been unable to pay their monthly mortgage payments. Due to this challenge, many investors have also turned to property flipping as a method of earning quick profits.
Jeff Adams on the other hand still advises that those looking for continuous and constant income from property should invest in rental property. When doing this, ensure you are not paying an amount more than 12 times the annual rental income of the property. He warns that anything above twelve is not a good deal. Another very important factor that real estate investors are putting into place in their businesses is an effective real estate team.
It is crucial for real estate investors to know when they are ready for a team to help them grow their agencies. This makes the investor more flexible and gives them more time to go out and network.
Latest real estate marketing trends
Social media and the internet are the latest marketing platforms that growing real estate investors are taking advantage of. Listing your property on real estate websites exposes it to more potential clients and that gives you an upper hand over just using buyer agents.
Facebook, Twitter and Linked In are all platforms used by real estate investors to connect with real estate potential buyers. Sites like Pinterest are also a good source of construction ideas, especially landscaping and Interior Design.
In summary a good real estate investor should always look out for new trends in real estate so as to stay a step ahead and keep their business unique and real estate forward.
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