According to real estate research done by The Counselors of Real Estate, politics and global uncertainty are among the top issues affecting real estate in 2017. These issues along with several others have had an impact on the real estate market in Arizona.
As the retail industry begins to transition into something that is more based on the customer’s experience, it is becoming more experimental and affecting the traditional form of retail. More retailers and grocery stores are focusing on online shopping and delivery for the consumer’s convenience. Moving to an “Amazon” like approach decreases the need for physical retail spaces. This transition could have long term effects on commerical real estate.
Housing: the Big Mismatch
The housing industry is currently lacking in affordable homes. This has made it difficult for some people to break into home ownership and has even made it difficult for people to rent in some areas. With the lack of available homes for sale, it has only driven prices up, making the market more competitive and difficult to enter.
Real Estate’s Emerging Role in Health Care
Because health care and the way people get their care is changing, the real estate industry has moved its focus on making sure buildings produce positively healthy outcomes. Research from the Mayo Clinic concludes that 40 percent of people’s health comes from environmental and behavioral factors.
Because of the attempt to crack the whip on immigration laws, many companies have lacked in the number of qualified workers they now employ. Immigrants also boost rent and ownership of multi family homes. These restrictions could have a negative impact on this large source of residential tenants and home buyers.
As sea levels begin to rise as a result of climate change, more buyers may begin to move inland, bringing more people from coastal areas to live in Arizona.