Let’s face it, living in urban areas or suburbs close to cities is getting incredibly expensive and using a real estate map tool is one way to help home buyers get into a home using a “co-living” strategy.
Yes, home prices and rental rates are going through the roof in some markets. San Francisco, New York and Los Angeles are seeing record highs for prices. Ironically, Millennials want to move to urban areas or close by more than ever. They are in essence, creating their own dilemma.
In addition, Millennials is most markets have held off the purchase of any property. They didn’t want to commit to a mortgage (even though, in another ironic observation, mortgage rates are near record lows, even if they have been creeping up slightly. A rate of 4% is still incredibly attractive to the 9% rates and higher we’ve seen).
But that is changing. Mainly due to skyrocketing rents. So how can a young person afford to buy a home? One solution that is a growing is a movement called “Co-Living.” What is co-living? It’s a concept that basically says, “I can only afford this place if I find a bunch of roommates.” It’s a movement similar to the days of college dorms where a group of young people will all live together under one roof.
What does this have to do with a broker or agent?
Many home buyers today are looking at properties with the potential to rent part of the property out to help cover the mortgage.
It’s a smart strategy. The rental market is super-hot right now. If you own a home or condo in a decent location and can offer an attractive rate in an attractive area, you will get inquiries from renters.
This is where a real estate pro can paint a picture of how a property can be a good source of income.
Offer real estate map tools to help buyers attract renters
One of the best ways to paint that picture is a real estate map tool, such as a widget offered by real estate data providers such as Home Junction.
Sure, you can tell a home buyer this is a great location.
But why not SHOW them how that property is an ideal location on a map embedded on your website? Get the wheels spinning in the buyer’s head on how they can also use this information to attract renters.
For example, with the real estate map tool, an agent or broker can point out a prospective property pulled from MLS data.
Then, with the real estate map tool, they can start displaying amenities within certain distances of that property.
Maybe it’s a coastal town and the property is located ten miles away from a beach.
Or perhaps it’s a hipster type town and the home is located three miles from downtown.
There’s a cool bookstore over here, just a mile away. Love Starbucks? Here are two within a five-mile radius. Like yoga, here are two places within two miles. Sushi restaurants, hip clubs, coffee houses – point them all out. in relative proximity to the home for sale.
Some of these amenities can have as much drawing power as a refurbished bathroom or a kitchen with upgraded appliances.
Alternative transportation is a big plus with Millenials. According to AAA, many young people are actually delaying the purchase of an automobile. They prefer public transportation or even commuting by bicycle. (Another way to be able to save enough money to purchase a property).
Use the real estate map tool to show home buyers how they can show renters that from this location, there are many amenities that are “bikeable or walkable.”
You don’t need to get in a car to purchase a gallon of milk. Ride your bike.
Tell them about the parks nearby. Paint a picture of the home buyer riding their bike through a wooded area or walking their dog along a river bank.
Paint a picture of a home buyer telling potential renters the same thing.
Same goes with train stations and bus stops. Few people want to drive into an urban area – roads are more congested than ever. Tolls are higher than ever. Parking a car in a city for a week eats up a day’s pay.
Transportation amenities are golden. With a real estate map tool, you can point out all the commuting amenities.
How about schools? There are quite a few single parents in society. They are all looking for inexpensive places to rent. Great schools would be an enormous draw and in fact, the main draw for them.
Provide a feed on your website with current school data. Show buyers a comprehensive overview of schools in the area with student/teacher ratios, school demographics, etc.
The challenge of convincing consumers today to purchase a home might seem enormous in current conditions. Inventory is low. Prices are high. Millennials are still reluctant to take out a 30-year mortgage.
But real estate pros know challenges come with the territory. They key is to be able to adapt to market conditions and use the right tools to address those conditions.
What’s encouraging, is that today, with big data and geo-spatial technology, real estate pros have an incredible array of inexpensive real estate data tools at their disposal. Tools they can display on their own website (and make sure they keep their clients or generate their own leads).
Some consumers will want to consider “co-living” as a home buying strategy. That’s fine. You can help them. And with a real estate map tool integrated into the local MLS, you will have the best resources at your disposal to assist them.