What's Trending in 2020?

Looking to buy or sell in 2020? Here’s what you need to know and the latest trends in real-estate. 

Trend 1: Low inventory and high demand. 

It’s no secret that there aren’t many houses on the market. Home owners are staying put and more buyers are ready for homeownership. 

“The majority of our buyer clients are millennials,” said Nicole Canole, CEO of East + Ivy. Millennials will seize the opportunity to jump on a great find. “You have to understand [they] aren’t afraid of renting though,” she continued, “so if a house does not meet their criteria, they’ll stay put. When they do find what they’re looking for, they aren’t afraid to break their lease and/or structure the deal to include a lease buyout.” 

Given the demand we are seeing with properties, buyers are often finding themselves in multiple offer situations. In this competitive market, buyers need to look for ways to set themselves apart.  One way you can stand out from the crowd is by getting pre-approved. This requires understanding the difference between being pre-qualified (based on self-reported data) vs pre-approved, where the lender has seen all of your financial documents (don’t worry, a lender or real estate agent can explain the intricacies of this process to you). 

“With a full pre-approval in hand, local lenders can fully underwrite and close in 7-14 days,” Jennifer Lynch said. You’ll be more appealing to those looking to quickly sell. 

Sellers need to understand that just because inventory is low, it does not mean their house will automatically sell. Presentation is everything.

“[It] doesn’t mean it’ll just go,” Canole explained. “It’s the HGTV generation. If you want top-dollar, you have to present [your house] as a showpiece.” Things, such as a fresh coat of paint, a deep-clean, and new carpet can make or break a sale. This is why agents highly recommend staging your home to sell. 

Staging is all about the “initial perception and allowing the buyer to mentally unpack when they get into a space,” said Canole. They are unable to do that if they are worrying about new paint or how unusable or dysfunctional a space may feel because of its current layout. “It doesn’t need to be perfect, but it needs to look like it’s been loved and cared for.” 

Depending on the type of area in which you reside, you may want to highlight key amenities your abode offers. If you’re in the suburbs, must-haves include: garages, finished basements, outdoor space and storage options.“People want more space,” added Canole. “Open floor plans, so Mom can keep an eye on the kiddos, is a must-have.” 

An interesting change we are seeing now is the way this generation uses the once “traditional” spaces. “Formal dining rooms have gone away, and flex rooms are here to stay,” added Lynch. “Modern families are busy with extracurricular activities and work, sit-down dinners aren’t necessarily typical in this day and age, so the need for the dining room has disappeared.”

Trend 2: Using technology to buy and sell. 

Today, 89% of homes are sold with the help of a professional [National Association of Realtors ©]. For sellers, that means hiring the right one. 

“All real estate agents are not created equal,” Canole said. “Is your agent doing virtual tours, using social media, posting in niche groups? It is a fact that every home has a buyer, it just depends on how it’s marketed and if that buyer sees it.” This is why good photos are crucial. Long gone are the days you can stick a sign in the yard and take some iPhone photos and expect your home to sell-- even if you splurged on the latest phone. 

“There’s so much that goes into marketing a house properly,” added Lynch, “if you don’t hire a professional, you’re leaving money on the table.”

“The consumer is inundated with stuff constantly. Insta, Redfin, Zillow, there’s so much out there,” said Canole. “We can help you narrow your search.” Fifty-four percent of home buyers started their search online and ninety-five percent used online tools to purchase their homes [Properties Online]. Just jumping on the Internet can be overwhelming, and there’s a lot to process on your own, so an agent can expedite this process for you and make you feel more at ease. 

Virginia is even ahead of the game in some aspects. 

“Virginia is one of five states that allow for virtual notary. Instead of having to track down a physical notary, you can now do a virtual teleconference from anywhere in the world,” added Canole. 

This is especially attractive to buyers currently located in another region altogether or simply for those who have a busy schedule, alleviating some stress. 

Trend 3: The oasis villages where you can have it all.

Sounds great, doesn’t it? We’re seeing a trend in the hip, convenience communities that have all of the amenities of city-living, but more space that people crave in the suburbs. There are quite a few communities across the DMV where potential buyers may find such an oasis. 

“[These communities are] all over: Loudoun One is a beautiful mixed use development, Fairfax County has Reston Town Center, Mosaic District, and Scout on the Circle is being built; Dumfries even has Potomac Shores where a town center is coming soon,” Canole said. What makes these places ideal is their walkability. 

“They’re basically little villages and more attractive to today’s buyer,” she added. “Even our Belmont Bay neighborhood in Woodbridge has a boat club and the corner store.”

With Amazon coming to the DMV, these oasis villages are even more appealing.

“One of the reasons these communities are so appealing is the affordability factor. The closer you get to the city, the higher the price. Every city you get closer to DC, the price is going up roughly $100k for the same type of home,” Canole explained. If you want to find a more affordable place to raise your family, just examine your commute. “People often fail to realize how much public transportation we have, it just depends on what you’re willing to do.”

Trend 4: The time is now.

In 2019, January was the busiest month for listing houses. Traditionally, April has claimed this title for the real estate market [NBC Washington]. 

If you’re ready to buy or list your property, there’s no need to wait. The market is hot, especially in the DMV.

Prioritize your wants and needs, meet with and hire the experts, and you'll soon have the tools to find your perfect home in 2020.