You’ve heard it before: Real estate is about location, location, location. So it should be no surprise that trends in real estate are very much a local phenomenon.
States with a combination of low overall taxes and good weather attract a lot of retirees. This is a large factor in the appeal of Florida and Nevada for seniors. Older people who don’t need a job will prioritize what’s convenient for them. Warm weather is one thing many retirees value, and low taxes help protect their bottom line when they are no longer working for a living.
They will tend to want low-maintenance homes suitable for having visitors. People raising kids want space for the kids to play outside in a yard. Retirees often don’t want the maintenance hassle involved.
In communities with a wealth of jobs appropriate to support a family, you will see demand for family homes. A nearby military base will be one scenario that fosters a need for family homes. Families with young children will prize good schools, big yards, and access to child-friendly amenities. It’s a universal truth in the US that a good school district pushes up home values substantially.
Unfortunately, many desirable locations are now overrun with demand for homes suitable to make money using as a rental via various online services. This drives costs up and often prices locals out of the market.
This is seen in beach communities, towns near ski resorts, and other vacation destinations. Unless local efforts are made to protect the interests of local residents, you see the best properties snapped up at a premium and then sitting empty for much of the year during the off-season for the area.
Some states are currently exporting large numbers of people while others are importing them. This will also impact real estate trends differently. Wherever you are, local trends will be influenced by local conditions. Keeping up with the news is a good way to understand what’s going on in real estate.