Unless you’ve been in real estate for more than 22 years, you’ve never experienced a high inflation event until now. In this Coaching Tip, I’ll show you how to work with our current high inflation markets and continue to succeed until interest rates go down.
We know that increasing interest rates cause property prices to come off. I’ll explain repricing of the asset base, how neutral interest rates get the economy back on track, and what caused the residential boom we saw during the pandemic.
I’ll talk about how recent market cycles have escalated from 7 to 9 years to 18 months, and what’s driving these aggressive cycles. I’ll also show you how to continue to reprice assets in a declining market.
High inflation markets require a different set of skills, but the reasons people buy and sell property are the same. Set your pricing reference point realistically and bring those new skills to the table, and you’ll continue to do successful transactions.