It is common for many people in South Florida who are involved in the real estate market to think of residential property and commercial property completely separately. After all, a person who is looking for a new home probably isn’t too worried about the values and uses of nearby commercial real estate, and vice versa, right? Well, according to a recent news story, that separate thinking may be coming to an end.
The report notes that the housing habits of people throughout America seem to be in the midst of a change — a change that could result in a vastly different concept of how people approach real estate. The change? The apparent desire — which seems to be increasing — for many people to live within the metropolitan area of a city as opposed to putting down roots in the suburbs.
People are making the choice to live closer to where they work, closer to popular retail and cultural locations and places where they can walk to where they need to go instead of driving everywhere. This shift is having an impact on real estate values — both residential and commercial — that is likely only going to become more pronounced in the years to come. What is that impact? Well, residential property in urban areas are gaining value, and property in the suburbs is losing value. The impact is likely to be seen in commercial property as well.
The South Florida area has always seen the mix of commercial and residential property in various locations. But there are definitely areas that are almost completely residential, and there are those areas that are almost exclusively commercial, just like many other metropolitan areas. Anyone who is interested in any kind of real estate, whether it is residential or commercial, may want to consider the rising trend noted in this recent news story before entering into any kind of real estate transaction.
Source: realestate.usnews.com, “How Commercial Real Estate Is Changing Residential Housing,” Devon Thorsby, May 19, 2016