2017 Real Estate Trends
On a daily basis, Camoin Associates analysts are researching the country's real estate landscape and its trajectory for the future. Beyond available housing stock, proposed developments and other physical drivers of the market, equally important factors include a region's sociodemographic composition and economic stability. Realtor.com has come out with their top trends they foresee in the upcoming year and I've highlighted a couple below. I'm giving you fair warning, the dreaded buzz words Millennials and Baby Boomers are included.
- Millennials and Baby Boomers will dominate the market - We continue to hear about these cohorts because they are driving economies across the country. We've this heard time and time again, but if communities do to not tailor their messaging and housing options to target these demographics, their futures could be in jeopardy.
- Midwestern cities will continue to be a draw for Millennials-These cities are projected to capture a greater proportion of Millennial home purchases in the coming year. Cities like Nashville (pictured in the background) are attracting people for their booming tech hubs, less expensive housing and nightlife.
- Western cities will continue to lead in sales and price- Cities like Phoenix, AZ and Los Angeles, CA are projected to be two of 2017's hottest markets.
Rural Towns Can be Innovative Too
While urban centers have been lauded for their knowledge base and ability to attract a skilled workforce, the fact remains that depending on how you define "urban," between 20-30% of the U.S. still lives in small towns and rural areas. Many of our clients would be considered rural populations, and range anywhere from populations of 600 (looking at you Lyons Falls, NY) to small cities like Portland, ME. Due to sparse density and sometimes harsh weather conditions, populations in rural areas have always had to be creative, certainly before it was an urban planning or economic development buzz word.
"Does innovation look different in rural communities than it does in big cities? Yes and no."
How can policy makers and communities harness the creativity and skills of individuals to ensure economic prosperity? To start, building an asset inventory for a community lays the foundation for the resources readily available to a community. Don't get bogged down in the classification of assets and draw on a wide range of activities, physical assets and individual resources. From agricultural production techniques to historical landmarks, these are assets that can be built upon, without having to reinvent the wheel. While there are still many challenges for rural communities when it comes to innovation, like access to a broadband connection, understanding that "rural" can be synonymous with "innovation" is the key to economic development opportunities in many communities.