REAL 1820 Lecture Notes - Lecture 5: Cbre Group, Royal Lepage
Document Summary
Residential market analysis: overview of market analysis. It is the identification and study of demand and supply. Demand is more difficult to analyze than supply. Demonstrates the potential for a new project. Attract investors, debt financing and government funds: demand analysis. Consumer demographics: population growth, household information, age and family characteristics, mobility and immigration, lifestyles, etc: for example: smaller families and more one-person households demand for adult-oriented housing. Economic climate: employment, industrial growth or decline, changes in mortgage rates, changes in land use and zoning, and taxation: for example: steady employment in sectors like office and retail commercial space (office and retail) It is unrealistic for 100% homeownership, where every family owns a home. Renters by choice: prefer to rent, not due to financial reasons: working couples without children, empty nesters. Renters by necessity: must rent due to financial reasons: low-income couples with kids, single parents, students, fresh graduates, etc.