For those interested in real estate, the value can shift dramatically for a variety of reasons, so it's important to understand exactly what makes a property valuable. One of those potential reasons is the impact of modern real estate trends. When a certain type of property becomes a hot commodity, the price tends to skyrocket.
As a buyer, you want to make sure you don't overpay for something that winds up being a fad. As an investor, you want to get in at the beginning, while the value is still low.
With all of this in mind, here are a few examples of recent trends:
- Homes with short-term rental options. People use the internet to rent out rooms or even entire sections of their homes, sometimes on a by-night basis. This option makes a home more valuable because it now creates the income to pay the mortgage.
- Tiny homes. This is one that may prove to be little more than a fad, but there has been a recent push toward simplicity and downsizing. While the American Dream used to be a big house in the suburbs, some people are now opting for small homes that are cheaper and easier to maintain.
- Co-living spaces. These are popular with young people, who may want to rent or even buy places where they can live in close proximity to their peers. Rather than wanting space to themselves, they want to be included in a vibrant community.
These are just three examples, but they help show how the market changes over the years. If you're interested in buying or selling, make sure you know what legal steps to take.