Real estate technology and Population Growth effect on local real estate forecasts. To determine what the ranking, R-Squared, or weight of population growth on local real estate prices and future local market changes and the Block Group levels, we first have to define what Population Growth is, since for the most part, this growth data is currently not on the web. So what is Population Growth?
Population growth is calculated based upon comparing the latest monthly and quarterly changes, combined with geospatial analytics to get the daily growth for the selected geospatial level. Growth Maps looks at the seasonally adjusted changes in population at the Block, Track, Zip Code, and all boundary levels, then we seasonally adjust these numbers. Then our real estate technology adjusts the expected daily populations based upon the individual normalized slopes or trends or each Block, Track, Zip Code, and at ALL boundary levels.
Population changes do have an effect local real estate forecasts and displayed in our real estate maps. Adjusted and housing market predictions. Population growth is one of the top 20 variables that influence residential and commercial real estate prices, and is considered a leading economic indicators, since where people move to, in general, follows demand and increased prices.
Seasonally local population changes do effect local housing market predictions, but in the Growth Maps predictive model, typically migration has a higher influence on expected changes in the future value of the local housing market. Population changes displayed in real estate maps. It is interesting to note, that in past boom-bust markets, market analysis real estate, local builder were building in boom areas as if there was going to be a 30% boom in the local population within the local market or Zip Codes. But these expectations were based upon false yearly and macro trends, which have little correlation to the local facts and growth patterns.
Many builders over-built because of the lack of accurate data on the local changes in the populations. My hope is that with Growth Maps, advanced commercial real estate technology, no builder ever overbuilds ever again, and has access to the latest local changes and an accurate local housing market perceptions.
For more information, watch our free demo video on our homepage, and download your FREE eBook titled: “What’s Next for Commercial Real Estate Technology: Leveraging Technology and Local Analytics to Grow Your Commercial Real Estate Business” at https://www.growth-maps.com/free-ebook/
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