Listed within are the top 15 trends listed in the 2006 Report with the executive summary used in that Report. Beneath each we have provided a short commentary as a type of report card and as a transition to the 2007 Report.
The amount and diversity of new business models that have emerged during the last decade have garnered everyone’s attention. The industry is experiencing their impact first-hand as these new models begin to reshape the way real estate is conducted.
After four decades the MLS systems working reasonably smoothly, the industry has now entered a stage in which brokers and agents don’t really know what they have on their websites, or for that matter what information of theirs is on some else’s website.
Real estate is an information-based service industry. It used to be that real estate brokers and agents were the holders of information and consumers were dependent on them for it. But that has all changed with Web 2.0. Now it’s all about the sharing of information and collaboration with others.
The real estate industry, which over many years has become complacent in its marketing methods and approaches, needs to re-evaluate how it markets “Homes For Sale.” Individual agents must adapt quickly to counter the efforts of outsiders and internet companies
There are unquestionably too many licensed real estate agents today and the barriers to entry are unacceptably low. More extensive and higher-quality education and training would be a positive step in improving the quality of entrant, the level of ultimate consumer service and the overall image of the real estate agent and the industry.
The residential real estate brokerage industry, along with other industries and professions, is currently dominated by the Baby Boomers. As the Boomers make way for Generations X and Y, the world is gradually dealing with the change – real estate included.
Companies that don’t reach critical mass, the equilibrium point where growth becomes self-perpetuating, will struggle and often disappear, while those that gain that “magical” level usually become market leaders, very profitable and household brands.
The minority and immigrant population segments, and hence the home buying and selling population, are not being served effectively currently, and the situation is getting worse by the day
NAR has not only held onto its title as the largest trade association in the world, but also become one of the most powerful lobbying organizations on Capitol Hill. But in spite of that, many inside and outside the industry are questioning the future of Realtor&Reg; Associations,