Do you want to get information regarding buying or selling land? Here in this blog, we shall discuss how things have changed in this regard in modern times.
Table of Contents:
- Getting the word out
- Increasing demand for apartments
- First-time buyers: Old vs. New
- Renting longer
- More renters than ever
- Income vs. Spending cost
- Internet Usage
- No more loans with poor credit history
The land is still a reliable and desirable asset for many. If you have a piece of land or property that you want to sell, you may have noticed that the ways of doing it have changed over time. Let’s take a look at the most significant changes that occur in our time.
Getting the Word Out
For a long time, the sales market has been dominated by traditional forms of advertising such as word of mouth, newspaper ads, radio, etc. In the modern world, digital advertising is widespread as a way of promoting, letting you know about the available plot for sale or land available to buyers. The emergence of digital marketing has changed the game. Now, regular sellers can sign up on different sites or social media platforms to post photos or videos of your property and advertise your sale.
Increasing demand for apartments
According to researches done, demand for apartments has increased with great speed. Most of the millennials can’t afford to buy a whole house. Instead, they purchase an apartment according to their own needs or family size. Moreover, to meet the demand of the rising population, many are still under the construction phase.
First-time buyers: Old vs. New
In the 1970s, the average first-time homebuyer’s age was 30 or 31. The average age today is 34 or 35 years. The age shift may seem small, but it is partly due to the changing financial situation of millennials, many of whom are heavily indebted due to specific reasons.
Renting longer
The individuals who buy a home for the first time in 1970 rented an average of two and a half years before buying their first home. In 2013, the same group rented an average of six years before making a down payment, and now it is eight to ten years. It’s possible that with the massive debt held by the average first-time buyer, property purchases are being delayed as they struggle to organize their financial lives.
More renters than ever
There are more tenants now than ever in the last 50 years. According to research, in 1965, 37% of people rented their homes. By 2006, that number had dropped to 31.2%, but as of 2016, it had returned to 36.6%. From 2006 to 2016, the number of families in Pakistan has increased by millions now. Still, the number of homeowners has remained relatively unchanged due to a significant increase in the number of tenants.
Income vs. spending cost
The price increase also marks a jump in the percentage of income first-time buyers are spending. According to a survey, first-time buyers were paying 1.7x their annual income. They were spending 2.6x their yearly income IN 2013, which further increased by 3.5x in 2020.
Internet Usage
According to a survey, in 1998, only 2% of potential buyers used the Internet to find their homes. By 2010, that number had jumped to 75%, and today 90% of potential buyers go online searching for an ideal house. Even as the search for a suitable place or plot for sale on the Internet is increasing, many buyers still ask for the assistance of real estate agents for the closure of the deal.
No more loans with poor credit history
In the past, even those without a good credit history had options like undocumented loans. Today, all loans are documented, and people with poor credit ratings are unlikely to get a loan.
Real estate property continues to be a good investment for many stakeholders or investors. It’s up to you to decide how sales methods have changed in the modern era and adapt accordingly. Embrace the change, and you can feel comfort and experience that you didn’t expect.
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