The Market is Shifting – How is Your Mindset?

The real estate market is shifting; that’s a fact, and it’s not even up for debate. The question is: what are you going to do about it? And with the possible recession looming over us, how ready are you for this economic transformation? A commercial downturn is just around the corner and you need to learn how to navigate through it.

The market is not static or stagnant, but rather, it is always moving. There are new ways to make money and just as many ways of losing it. Real estate agents and investors need to be aware of these changes in order to stay ahead of the curve and give them an advantage over those who haven’t adapted their mindset accordingly.

In this sixth episode of The Process podcast, Preston Guyton and Travis McClure share their insights about the current situation of the real estate market, the impending recession, and several practical ways to move your business forward during this brewing storm.

Real Estate and an Imminent Recession

A recession is an economic downturn that lasts for several months and in which some of the economy’s key indicators, such as GDP, decline for consecutive quarters. Headlines after headlines have been talking about a possible recession this 2022, some even think it will be sooner rather than later. As the global economy shifts back and forth, it is only natural that the demand for real estate will also change. This can be quite disheartening if you’re currently sitting on top of your market or have an established portfolio of homes that you haven’t started marketing yet.

However, instead of panicking and merely seeing this as an impending doom and gloom phenomenon, you may look at this through a positive lens and find ways to take advantage of the situation. Companies such as Airbnb, Mailchimp, Uber, and Venmo grew during a recession. They took a hold of the plight and spun it in the palm of their hands to develop their businesses.

As a real estate agent or investor, the best thing you can do during a brewing crisis is to plan ahead with realistic expectations about what will happen next. The factors that impact your decision include your ability to properly manage the various aspects of running a business, your values, and the market conditions affecting it. And as the industry has demonstrated over the past few years, you risk losing a lot if you are irresponsible with real estate. You are an undocumented worker so it is up to you how to run your business. It’s always crucial to prepare yourself mentally so that you won’t build your business on a house of cards and work toward a short-term gain at high costs.

The key to surviving and thriving in any market change (whether it’s a recession or an economic boom) is to have a clear understanding of what your numbers, your market and its trends look like. You also need to know who your competition is and how they’re changing their strategies. Once you understand these things well enough, it will be much easier to develop an effective strategy that works for where things are headed next.

How to Equip Yourself for What’s to Come

Let’s be clear about one thing: preparing for a change is not going to be easy. We’re facing a massive shift in the way we do business and the way we live our lives. And that means everyone from business owners to policymakers will need to adapt in order for us all to survive this change together.

So how do you respond to the rapidly accelerating changes around you? If you want to survive, you should view any situation as an opportunity to learn, build a new skill set, and adjust your mindset accordingly. You need a strategy that keeps your mind open to new possibilities while still focusing on the core of what you do. And while it’s hard to predict exactly where things are going, it’s critical that you think consciously about each decision you make, because what happens next will depend crucially on how well you plan and prepare.

The Opportunities are there for the Taking

If you want to continue to succeed in any real estate market, you need to stay sharp. That means keeping your finger on the pulse of the market and the way it is shifting, as well as staying open-minded about new opportunities that may present themselves. But don’t fall into the trap of thinking that it is necessary to reinvent the wheel every time. By simply taking a proactive approach to your career and being ready for all scenarios, you can avoid becoming obsolete, which is something that happens to many people in any industry during times of change.

With the right effort and awareness, you can keep yourself at the forefront of your industry. In the end, the top performers in any industry aren’t always the most talented or intelligent; they are those who adapt when necessary and maintain their openness to embrace new opportunities.