Prepare to Thrive in 2025 with Brian’s Bold Predictions | Buffini
Catch all the groundbreaking insights of Brian Buffini’s Mid-Year Bold Predictions 2024, now available on-demand. Has there ever been a more complex time in the real estate industry? Brian gives you the inside scoop on what’s taking place behind the numbers. Watch now.
The real estate industry has seen many changes over the last years that have left agents confused and wondering what’s next.
Adding to that tension is the state of the real estate market on whole — a continued shortage of inventory and mortgage rates that have stubbornly been stuck at 7% or higher over the past year.
As one of the most iconic leaders in real estate, Brian Buffini is uniquely qualified to share his perspective on the state of the industry, cutting through the noise and offering fact-based information. Recently he presented his Bold Predictions Mid-Year 2024 where he spoke about what’s in store for the industry ahead and how real estate agents can position themselves to thrive in the changing landscape.
Sales Anticipated to Hold Steady as Rates Slowly Drop
Buffini, as well as many other industry experts and economists, had initially anticipated earlier this year that the Federal Reserve would cut interest rates several times in 2024, which would in turn result in lower mortgage rates. It now appears the Fed will only be making one cut, most likely in September or November, he noted.
Based on his research, Buffini now believes rates will eventually settle at 6%-6.7% by year’s end and then drop to 6.25% in 2025. The good news for real estate agents, as well as their clients, he added, is that sales “volumes will hold at 4.6 million and 5.3 million” respectively.
One factor driving these sales numbers upwards, Buffini said, is the increasing cost of rent. That, and anticipated lower mortgage rates, will attract more potential buyers to the market.
“Rent prices have increased 30% since 2020 and the average person has not gotten a 30% pay raise since 2020,” he said. “Twenty two million renters say their rent accounts for 30% of their income. And in fact, 12 million of those say it’s 50%.”
“Now think about that. There’s no tax deduction with rent. There’s no equity appreciation. You’re not buying down a mortgage,” he added. “So there’s just a massive, massive pressure on renters which is creating that still ever evolving pressure in the rental market in the purchase market.”
‘A Radical Need for Professionalism’
It is projected by experts that nearly 30% of real estate agents will leave the industry over the next two years, Buffini said. For those who stay, it will be more important than ever, he stressed, to present themselves as a full-service professional who delivers a “wow” experience for their clients.
To help them do just that, Buffini & Company is launching a brand-new Certified Full-Service Professional program in August that is designed to help professionals stand out from amateurs.
This groundbreaking program includes a complete marketing suite, world-class buyer and seller presentations, dialogues that meet the moment, and more.
Agents will learn how to develop a cutting-edge unique selling proposition as full-service professionals. After they complete this program, they’ll stand out from the competition using tools, training and more to deliver an extraordinary experience to clients before, during and after the transaction.
The program will feature video modules featuring Buffini as well as training from marketing guru Ron Tite, hospitality legend Will Guidara and Jon Acuff, the bestselling author of “Soundtracks.”
“We’ve packed this program full of resources – dialogues to handle objections, buyer and seller presentations, and consumer-facing marketing materials to connect with your database,” Buffini said.
“The next 12 months will be the most dramatic change that I have seen in 38 years in real estate. And now is the time to persevere,” he added.
Watch the replay of Bold Predictions Mid-Year 2024: Real Estate Market Outlook and learn more about the Certified Full-Service Professional designation.
