Fresh research, per the below linked article, shows that rent prices are on the rise in the Northeast while there are drops shown in most other parts of the country. There are many theories that more people are looking to rent because of the impact of mortgage rates on home buying. Whether you agree or disagree with that does not matter from a real estate marketing standpoint. As a broker or developer, what matters is what your potential buyers think. If you are investor, current and forecast trends help to guide near future decisions.
A lot of potential buyers or tenants prefer to play the waiting game. One approach is to explain the consequences of so many people waiting until the same thing happens. If mortgage rates were to drop drastically this week, and thousands of people are suddenly looking to buy, the purchase or rental price is going to go higher because the demand warrants. It’s on you to educate your clients about the financial significance of deciding sooner rather than later. The “deals” out there now will not be there as soon as rates drop.
The same theory can be applied to potential sellers who continue to “think about it”. It is easy to think that, by holding out, they will “cash in later” when demand finally increases. However, those who think that way are likely to not be motivated sellers. If (for example) you can “finally” put your 3 bedroom 2 bath house up for sale at a higher and more profitable price for $350,000, you may be surprised. A similar property, owned by a seller that has a job transfer or needs to relocate for family reasons, could put their similar property on the market for $340,000. Your property sits on the market longer.
Currently, when people don’t have or can’t afford the down payment, or do not wish to take the risk of buying for whatever reason, they look to renting as a viable option. This is not to say that renting is or is not viable. I’m reminding you that it’s how many people look at it. It’s up to you, while marketing your capabilities and services, to get them to understanding the value of acting sooner rather than later.
https://azbigmedia.com/real-estate/top-5-trends-shaping-arizona-and-u-s-real-estate-right-now/