Times are changing … According to the National Association of Realtors:
In 1981, 22 percent of home buyers read newspaper ads to find a home and eight percent used friends as an information source. In 2016, 44 percent looked for properties online first.
Buyer’s apps and websites (Zillow, Trulia, Homes.com) search by location and neighborhood. Zillow alone has more than 160 million visitors every month. REX uses its data to target buyers on Instagram, Snapchat, Facebook, Google and even by snail mail—whatever the data says is the best method to reach them—about 90% of home buying is left to a computer.
In 1981 the top way to find an agent was through friends, relatives or neighbors. In 2016, buyers worked with agents 88% of the time. Trust in a realtor is still king. While the initial process may start online, home buyers turn to the advice from a trusted real estate agent. The difference is that home buyers are entering the process more educated about the market before they speak to a home seller or an agent.
So why does all of this matter? Because let's be honest you only care about how it affects you.
So currently California's state on the market is in an interesting space,
The current interest rates are at 3.25% 30 year fixed.
The median home price is at $530,000
California’s unemployment rate is near a record low of 4.2% Yet, the market is flat or falling slowly and Zillow predicts a real estate recession for 2020.
Inventory is up, but Millennials are largely cash strapped.
So yeah, things are changing. If you're interested in buying or selling we recommend you speak with a real estate agent soon. Now may be your best time to act. It's better for you to be in the know rather than fall behind later.
For more information listen to Dean's conversation with experienced realtor Erin Pohl below:
To learn more about Erin you can visit her website ErinAndBob.com here.