In the initial days following the announcement of the global pandemic referred to as COVID-19, the real estate industry experienced a stall in transactions. Though many people began to shift their thoughts towards tightening their belts in anticipation of loss of income as a result of work shortages during the COVID crisis, the reality is people still needed places to live while others were desirous of selling their properties. The basic principles of supply and demand held strong, leading to a vibrant rebound in the real estate market beginning in late summer and moving into the fall season. While many other industries have seen a large decline, real estate agents have enjoyed a great resurgence of interest in both the buying and selling of homes properties. The expected crash in real estate never occurred. Many people considering starting a career in real estate have started to question whether real estate is still a safe, lucrative choice as it was 10 years ago.
Based on what happened last 9 months, we can confidently say that COVID-19 actually demonstrates how the real estate industry is resilient and strong. If you are serious about starting a career as a real estate agent, this is still the place you want to be.
What Makes Now the Right Time for a Career in Real Estate?
As with most of the Canadian provinces, British Columbia also experienced a lockdown in March 2020. During this time, real estate sales greatly declined; however, research shows that this decrease in activity was only temporary. Residential and commercial sales experienced a decline of 14 percent across the country during the month of March. Some of Canada’s biggest cities took the largest financial hit with the Greater Toronto area reporting a drop of 20.8 percent in sales, Montreal 13.3 percent, the Fraser Valley 13.6 percent, and even the Greater Vancouver area reporting losses of 2.9 percent.
However, as restrictions began to ease as the summer approached, the market soon began to experience a gradual incline. Since housing is a basic human need, interest began to resurge in purchasing a home, selling a property, or even upsizing an existing space. As a result, recent data shows that the pandemic only delayed these purchases instead of negating them entirely.
The real estate industry as a whole underwent a strong increase in the months of September and October, particularly in the Metro Vancouver region where home purchases and new listings reached a record high. The statistics recorded for the Vancouver region for the month of October are quite impressive. These include:
- A 29% increase in residential sales in October 2020.
- A total of 3,687 homes sold in the month of October 2020.
- A 1.2% increase in overall sales in September 2020.
- October 2020 sales reported at 34.7% higher than any October average in the previous ten years.
What could be the reason for this increase in home buying? With the pandemic forcing people to spend more and more time at home, the desire grew to create a space that was safe, comfortable, and the perfect fit for their needs.
Is a Career as a Real Estate Agent Future Proof?
There are several reasons why the real estate industry continues to prosper now and into the future.
- Real estate is not a field that can be effectively accomplished through automation.
Though technology, automation, and robotics have made some previously lucrative fields obsolete, a thriving real estate industry depends on people. Both buying and selling homes involves far more than simply financial decisions. For most families, the purchase or sale of a home is personal and emotional. For first time home buyers, there are many questions to be answered along the way; these are things that cannot be handled by a computer. A real estate agent is needed each step of the way to soothe “first time” jitters and provide practical advice through the process.We’ve seen some people compare real estate agents to stock brokers or wealth advisors being replaced by robo advisors. But that’s not an accurate comparison. Because stocks are bought and sold at relatively inexpensive price points and at a rapid rate, this can easily be achieved through a few simple clicks of a mouse. Buying a house is dramatically different. Each property is as unique as its potential buyer. More than that, every transaction is different. Purchasing a property is multi-pronged including many steps such as negotiating an acceptable price, outlining conditions of sales, and working with legal tasks to close the transaction.
If each of these steps is not carefully executed, there are consequences for the buyer, the seller, and the real estate agent. These things cannot be left to automation; they require a personal touch.
- The real estate industry was not dramatically affected by a weak economy or unemployment rates.
Experts agree that the Canadian economy will not experience a full
recovery until the year 2022. Sadly, unemployment will continue to be an
issue until 2025 according to conservative estimates by Statistics Canada. However, having weathered some of the worst times the pandemic has to offer, the housing market is still intact. This fact illustrates that the Canadian Real Estate industry is still flourishing.Though prices do not remain stagnant, this is not something that is unique to pandemic times. What remains constant is the fact that people will always need housing, and thus, realtors will be in constant demand.
What keeps the real estate market afloat when other industries are
experiencing great decline? The housing market is very fluid since people’s lives change on a regular basis. Working adults with children become empty nesters looking to downsize. Seniors no longer wanting the hassles of a large property consider a move to a condo, townhome, or retirement facility. Ambitious career men and women make the move to a new city in search of greater opportunity. All of these things ensure the housing market remains vital and thriving.
Why Get Started in Real Estate Today?
It cannot be denied that the COVID-19 pandemic has had an impact on all industries, the real estate market included. However, the setbacks the real estate industry has experienced are gradually becoming a thing of the past, making now a great time to get started in this promising field.
Starting within an industry when it is enjoying a plateau offers the opportunity for career changers to soar to new heights as the industry grows to its peak. By getting into the real estate business now, career changers have the opportunity to build the strong connections they need to gain advantage over the competition when the next boom strikes.
Unlike many other career paths, the real estate industry is resilient and bounces back from even the worst hardships. It has weathered the test of time and cannot be replaced by automation, technology, or AI. This has been proven during this time of pandemic when instead of succumbing to defeat, the real estate business rebounded and flourished in the face of adversity.
You Need to Get a Licence to Be a Real Estate Agent
Thinking now is the time for a career change? Does the real estate industry appeal to you? Quick Pass Master Courses can help. Our curriculum of study tools is designed to help you prepare for and pass the requirements to obtain your BC real estate license.
Quick Pass Master is founded and run by Benson Wang, a ranked Real Estate Agent who has seen both ups and downs in the real estate market. He is fully committed to the real estate industry. Unlike many other schools’ founders, Benson not only teaches real estate, but also practices in it because he knows real estate can be a life changing career. He has seen many success stories in the industry and wants all his students to also enjoy success.
Contact our team of professionals now at 778-686-8555 or [email protected] to learn more about what Quick Pass Master Courses can do for you. An exciting new career is just a phone call away.
