The State of the Market: Real Estate Shows Signs of Strength, Can Home Stagers Capitalize?
Everyone who works in real estate knows, business heats up and cools down based on the strength of the economy as a whole. When the market is growing rapidly, there are opportunities left and right for realtors, agents, and of course home stagers. On the other hand, when the market slows down, it can be much tougher to earn an income. For people South of the Canadian border hope is on the way!
It’s no secret that the last several years have been tough for those of us in the real estate industry; but there appears to be light at the end of the tunnel. Recent studies seem to indicate that the market is working its way back after the great crash of 2007 and 2008. This week, the Associated Press reports the findings of a freshly released study conducted by CoreLogic:
A measure of U.S. home prices jumped 5 percent in September compared with a year ago, the largest year-over-year increase since July 2006. The gain reported by CoreLogic offered more evidence of a sustainable housing recovery.
The real estate data provider also said Tuesday that prices declined 0.3 percent in September from August, the first drop after six straight increases. The monthly figures are not seasonally adjusted. CoreLogic says the monthly decline reflects the end of the summer home-buying season and not a softening in the housing recovery.
Steady price increases should give the housing market more momentum when home sales pick up in the spring. Rising prices encourage more homeowners to sell their homes and entice would-be buyers to purchase homes before prices rise further.
Several reports last month showed that the housing market is improving, though from depressed levels.
Home builders started construction on new homes and apartments at the fastest pace in more than four years in September. They also requested the most building permits in four years, a sign that many are confident that home sales gains will continue.
New home sales jumped last month to the highest annual pace in the past two and a half years. Sales of previously occupied homes dipped in September but have risen steadily in the past year.
Sales of both new and previously occupied homes are still below levels that are consistent with a healthy housing market. That’s partly because the supply of available homes for sale remains low. And many prospective home buyers are struggling to qualify for a mortgage or scrape together the bigger down payments that many banks are requiring.
Now, if you’ve been in business for a while, you’ll know that recoveries don’t happen overnight. While there are certainly encouraging signs in many markets, it will likely take still more time before the market can fully recover. It’s also important to keep in mind that while national studies such as this one are helpful in order to understand overall trends, there can be significant variance in the local markets. I know plenty of home stagers who have done very well for themselves despite the recession—and while some of their success is due to the fact that their local markets were stronger than average, it was their ability to create and execute sound business strategies that allowed them to excel.
If you’d like to learn more about building a home staging business that will thrive no matter what the market may look like, please get in touch with me today!