2017, A Time of Uncertainty for Montgomery County, MD Real Estate

2017, A Time of Uncertainty for Montgomery County, MD Real Estate

Andover, MA real estate professional Praful Thakkar has challenged ActiveRain bloggers to write about some of their predictions for the 2017 real estate market in their local areas.

There are many elements of concern and challenges for creative real estate professionals in Montgomery County, Maryland, in the suburbs of Washington, DC.

The inventory of residential properties is low and that factor has pushed home prices to higher levels. Some families will not be purchasing a home because of the higher and often unaffordable prices. Many families will not be selling their homes because they have refinanced their mortgages at very low rates for the long haul. There are many new apartment communities under construction and many younger prospects will opt to rent rather than purchase because of uncertain career opportunities and high balances on their student loans. 

The rapidly changing policies of the Trump administration has changed some uncertainties to personal fears for federal employees and government contractors. Many in these sectors will not be anxious to purchase new homes unless they are accepting alternative career opportunities.

Smart real estate professionals will be seeking new ways to meet their financial goals. Some will be purchasing foreclosures at trustee sales with plans to fix them up for flips. Some will be adjusting their niches to fine tune their income opportunities. 

There will continue to be opportunities for those who can imagine the best reuse of some properties and have the ability to market those projects. Suburban office parks have lost some of their popularity and alternative tenants need to be found to fill the vacancies. Many retail businesses are closing stores and new uses need to be found for the vacant buildings.

The vacant box store may become a church, a school, or a municipal building. The vacant service station my become a location for a new 7-11 or a real estate office. The old National Geographic office building in our community has become a public safety office building for the county.

Some smart people may find a use for the surplus supply of real estate agents because only a small percentage of them will reach the highest production levels.

2017 will be a year of uncertainty for many but will also be a year of opportunity for those who will overcome the challenges.

 Petunias, "Rhythm and Blues", Longwood Gardens, Kennett Square, PA