In recent years, many factors have contributed to an increase in the amount of people working remotely. Partly due to the COVID pandemic in 2020 and 2021, many businesses and schools around the world converted to remote work or teaching environments. While some of the remote changes were temporary, many businesses and individuals have continued to work primarily from home offices or adjusted their schedule to include fewer days in a physical office. In addition, the increase in remote workers also had an impact on real estate. As many businesses realized that they didn’t need as much office space as before, they also realized that they could save money on office space costs. In addition, many businesses reduced their office space or changed their office layout and productivity increased by letting their employees work from home. Meanwhile, read more below about the remote work revolution’s effect on real estate demand.
Remote Work and Real Estate Demand
To start with, the global shift towards more remote work has created a large transformation in the real estate market. A recent study showed that between 2019 and 2021, the percentage of days worked from home increased from 5 to 30 percent. Many individuals and businesses are now adapting to a more flexible work arrangement. As a result, the criteria used by prospective homebuyers has also changed. For example, a short commute is no longer as important as it was once since many jobs are working remotely from home part-time or full-time. In addition, many people are now realizing that they can move to a different location if their job allows them to work remotely. As a result, many people are moving to different locations or even different countries to enjoy a better quality of life thanks to a more flexible work environment.
Properties with Home Offices
Secondly, while many people around the world are now working from home, the features that homebuyers are looking for when buying property have also changed. For example, the home office used to be a luxury, but for many people it is now a requirement. A recent study indicated that 42% percent of U.S. workers are now working from home full time, which makes up more than two-thirds of economic activity. Since more and more professionals are logging in from their living rooms or home offices, the importance of having a quiet and productive workspace is now a top priority. As a result, there is now more demand for homes that have appropriate home orifice space to accommodate the needs of remote workers. Therefore, the value of a home with home office space is now worth more than before.
Less Focus on Commute
In the past, many people had a high focus on how much time their commute would take to get to work or school. Likewise, many homebuyers would often buy properties that were in close proximity to their workplace. However, the shift to more people working from home remotely has reduced the amount of time people spend commuting to work. Therefore, they can now have the option to check out new possibilities in terms of where to purchase real estate. For example, studies have shown that a large portion of the population is now willing to relocate and move further away from city centers. As a result, the shift in demand has prompted an increase in value in suburban and rural real estate markets. Since commutes are not as important as before, many people are now focusing their home searches based on other aspects such as affordability, space, and lifestyle.
2024 Real Estate Trends
In 2024, more people are deciding to relocate and move outside of densely populated metropolitan areas. In fact, the increase in remote jobs has reduced geographical restrictions and people are even moving to other countries where they can enjoy a better quality of life. In general, many people are deciding to move away from major cities into suburbs, small towns, and even new countries. Thanks to the ability of modern technology to keep workers connected despite location, 2024 real estate trends show more people relocating to buy property where a commute is not a factor. Instead, remote workers are more interested in larger homes which have home offices than they were in the past. In general, homebuyers that work remotely tend to have larger homes with more rooms when compared to similar non-remote worker homes.
As you can see, the increase in remote work has significantly affected the 2024 real estate market. It has shifted homebuyers preferences, and allowed for more freedom in terms of location. In fact, many people have decided to move to Mexico where they can enjoy a more relaxed lifestyle. One of the most popular places to relocate is Puerto Vallarta, which is located on the country’s Pacific Coast in Banderas Bay. There, the beautiful coastal city has a wonderful mix of small town charm and modern conveniences. In terms of where to buy luxury real estate, Lemuria Residences located on PV’s South Shore is a popular choice for home buyers who want to have tons of amenities at their disposal. The luxurious condominium complex is situated on acres of Sierra Madre jungle greenery with stunning views of Banderas Bay. Inventory is limited, so contact Lemuria Residences today to learn more!