The coronavirus has altered every aspect of our daily lives, from grocery shopping to dining in restaurants. Small changes in daily behavior can have drastic implications for future consumer needs and actions. While some consumers have paused their housing search, many have continued to examine listings and take virtual property tours. Searching for a home during a pandemic has buyers reidentifying their priorities in housing needs.
These shifting priorities have left major real estate players at the head of a changing market. Though the full effects of the pandemic remain unknown, here are a few trends you can expect to influence the future of real estate:
More contactless transactions
Prior to the pandemic, the real estate industry had been moving to offer more services digitally. Online transactions had been increasing in popularity, and the industry had slowly started to recognize and accommodate buyers’ needs online.
The pandemic has supercharged the real estate industry’s move to the online space. Under lockdown restrictions and enforced social distancing, more consumers have started buying their necessary items online. Working remotely has also helped many to develop a familiarity with FaceTime, Zoom and other online services.
In the future, real estate players will need to provide more online options—customers will expect them to be available. Though consumers still value in-person tours, many have now recognized that most transactions can be done over the phone or online. And, as the quality of virtual and augmented reality increases, more consumers will be able to visualize their home with greater confidence and accuracy.
Shift in buyers’ needs
With closed public spaces and offices, buyers have had more time to evaluate their current living situations. Living, working and playing in the same space has created a desire for better and more affordable common spaces. A recent study by OJO Labs found that more buyers were evaluating homes based on kitchen style, extra bedrooms, open floor plans and good lighting.
In addition, consumers will be likely to seek housing in less crowded areas. Crowded urban areas cost more, and those living in these areas have experienced the worst of the pandemic. Previous factors, such as commute times and residence location, may become less important as the preference for better neighborhoods and communities increases.
Shift in consumers’ buying habits
The traditional brick-and-mortar space had been struggling to compete with e-commerce before the coronavirus. Now, with the restrictions and inconvenience of in-person shopping, even more consumers have begun to rely on e-commerce. These buying behaviors are likely to remain even after the pandemic ends, with more consumers moving their important purchases online.
By acting quickly, real estate agents can capitalize on the current spike in online buying. Websites that provide user-friendly experiences will be able to retain a portion of the increased online traffic, and real estate professionals ought to expect more of the traffic from mobile devices. To simplify the process for homebuyers, successful real estate agents will need to optimize their websites for mobile and desktop.
Greater focus on customer experience
As online real estate services increase and the quality of artificial intelligence improves, many have started to question the need for real estate agents. Despite the changes, the need for personalized service will likely remain steady in the future. Home buying is a personal process, and consumers still need reassurance from professionals.
Real estate professionals will be able to guide customers through setbacks and anticipate issues presented by the pandemic. Especially in uncertain environments, consumers will value consistent and reliable communication from those in the industry.
Moving forward
The pandemic has highlighted the need for changes in the real estate industry. To be successful, real estate players will need to directly face these challenges and respond to consumers’ changing needs. Though the future may be unpredictable, all signs point to a substantive increase in the use of technology for real estate.
Atmos is poised to take advantage of the current trends by offering homebuilders an easy and affordable online solution. Partner with Atmos, and you’ll get a jumpstart on the future of the real estate industry.
