As the real estate market continues to shift, buyers and sellers must navigate this changing landscape with finesse, preparation, and realistic expectations. Robert Dekanski and his team are well-equipped to assist with navigating the townhouse and condo market across New Jersey, with results that exceed client expectations.
A real estate market is an interconnected network of individuals and businesses that buy, sell, finance or lease properties for commercial or residential use. This includes real estate investment trusts (REITs), developers, property owners, brokers, and financiers. The market is influenced by several factors, including economic conditions, demographic trends, and government policies. Real estate markets typically experience market cycles that include expansion, plateau, and contraction phases.
The real estate industry is characterized by high transactional costs and risks, including illiquidity and credit risk. The real estate market is also highly inelastic, meaning that demand for a specific building can be substantially impacted by changes in supply or location. Additionally, each real estate unit is unique, requiring significant search costs and information asymmetry, and restricting substitutability.
Nevertheless, real estate is an attractive investment for many investors because it offers capital appreciation and income potential. A growing global population and urbanization are driving demand for residential real estate, while technological advances and sustainable design practices are influencing the development of commercial properties. In addition, the COVID-19 pandemic is expected to reshape residential preferences by increasing demand for homes with larger floor spaces and amenities.