HOW TO EVALUATE A REAL ESTATE MARKET

1. DEMOGRAPHICS

                                                                                 When investing , one should  Look at the population growth, age distribution and income level at the specific area. since if the number of people increase in a particular area the demand for houses increases and if the number decreases the demand for houses automatically goes down.   

                                                                                2 ECONOMIC INDICATORS

This will help by providing insight into the overall economic health of the area which can impact the demand for housing. for example a strong job market increase the demand for houses while the unemployment rate will lead to less house demand.

                                                                                           3  SUPPLY AND DEMAND

Supply and demand play a critical role in evaluating a real estate market, as they determine the balance between the number of properties available for sale and the no of buyers in the market. high demand for housing but limited supply , prices may tend to rise conversely and vise versa.

                                                                                      4 INTEREST RATE

Interest rates play a significant role in evaluating real estate market as it impacts the cost of borrowing and can influence the consumers behavior. if the interest rate is low this increase the the demand for housing and when the interest rates are high the demand for houses may tend to go low.

                                                                                         5 PRICES

Prices provide an insight into the overall health of the market and can impact the supply and demand dynamic in the real estate market.