Real Estate is one business that has stayed somewhat steady in the extremely fast-paced and constantly changing world of the 21st century. That doesn’t mean that real estate doesn’t change and doesn’t have trends that work their way into the mainstream, however. It is always important to understand trends as an investor. One of the most important factors in a good investor is their ability to identify trends before everyone else and capitalize on those trends. So what will be trending in 2017? How about 2025? Here are a few things that could make the list.
Home automation
Home automation is something that some believe is currently trendy, but most would argue that it hasn’t hit the mainstream yet. Many homeowners own a smart TV, or Kinect, or perhaps an alarm system, but most couldn’t say that their home has been fully automated. Neither is there a single company, or even a few, that are owning the industry.
That will likely change in coming years. As home automation technology becomes more mainstream people will begin to develop habits that make the think they cannot live without certain home automation aspects. These will in turn spur further pushes by companies into the home automation sphere, and someday soon many people will be living in a world they once only saw on TV, where you can speak to your home and it is ALWAYS listening.
Electricity
The electric industry has remained fairly constant for as long as most people can remember. Just look at the power lines out your window and you will easily be able to see how long it has been since any updates have been made. All of that is changing with emerging technologies.
The solar industry is set to be the biggest disruptor. Multiple solar companies have gone public in the last few years and are using the funds to rapidly expand into emerging markets. Vivint Solar, a Utah based company that went public two years ago has reported more than 100% sales growth multiple quarters since the offering. They have found a wiling market that is hungry for cheap, renewable, safe electricity.
This in turn has powered companies like Tesla to release batteries that are capable of storing enough electricity to power an entire home. Combing solar technology with battery technology will allow homes of the future to go completely off the grid, with no need to rely on electric companies for their basic needs. This means no more power outages, no more downed power lines, and cheaper electric bills.
Already many properties are seeing watt-hour meter’s get installed that allow for landlords to measure exact electric usage and charge based on the amount they use. This will also be utilized more as the industry grows, allowing (or forcing) people to only pay for the electricity they use, while also giving people a better idea of how much electricity their family uses each month.
Small homes
A strange new trend that many analysts probably never thought would come is the less-is-more philosophy. Many analysts are seeing trends that point to significantly smaller homes being built. Home s are being built to match currently family needs, and space is being utilized in a much more efficient manner. Many homes that are being built are significantly smaller than homes nearby, yet seem bigger with space utilization techniques and good storage.
These are just a few trends. All can benefit a savvy investor who knows what to look for and can spot a deal. Remember, do your research and good things will almost always follow!
David Glenn is a home improvement expert. He occasionally freelance writes about home maintenance and DIY home repair. He’s also knowledgeable about topics like how to improve social presence and building a reputation online.
