New modes of transportation are changing where people buy and rent real estate.
New advances in technology have greatly impacted nearly every industry you can think of, including real estate. The rise of autonomous cars and alternative transportation, such as micro-mobility, is changing the way people get around in urban environments and how we view long commutes.
For investors looking to grow their multifamily real estate portfolio, it is worth understanding the potential impact technology will have on the real estate market. So what will the real estate industry look like if certain technologies take off?
Stay ahead of the competition and learn how technology is changing where people buy and rent real estate in both cities and the suburbs:
Micro-mobility in Urban Environments
Access to affordable and efficient transportation has always been one of the advantages of living in cities, so much so that most people buy or rent real estate close to public train stations or bus stops. However, the rise of micro-mobility, such as bike and scooter shares, is allowing people in urban environments alternative ways to move around.
People are no longer confined to living close to public transits, and instead can use scooters, bikes, and other forms of on-demand transport, offering low prices, predictable speeds and the availability to easily get around.
Rise of Suburbs and Commuting
The future of autonomous vehicles will also affect the location of where people buy and rent real estate. One major downside to drivers commuting long distances from the suburbs is loss of time and sleep. Studies indicate that people who drive longer do less of other activities to make time to commute.
The rise of driverless cars means commuters will have more free time to relax with a book, squeeze in some extra work or even catch up on sleep, thus encouraging more people to relocate to the suburbs.
As a real estate investor, it is important to consider how the industry currently looks today and also how technology will affect the industry five to ten years from now.
Our multifamily advisors are able to leverage technology to help investors identify upcoming hotspots in the market and determine how accessible a prospective property currently is and will be in the future. To learn more, contact us today.
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