Jacques Poujade is considered one of the top real estate investors and advisors. With over 30 years of experience under his belt, Poujade is managing partner at LendsPlus, a real estate financing firm that helps homeowners make their property investment dreams come true.
Despite the uncertainty that plagued 2020, the real estate market carried on with trends that are sure to prevail into the next year. We sat down with Poujade to talk about the real estate trends of the last year and what might be next for 2021.
How did COVID-19 alter the course of the real estate market?
The global pandemic has no doubt changed how people lived. Overall, everyone is spending a lot more time at home due to remote work.
Believe it or not, this caused a big shift in the real estate market. A lot of people moved out of metropolitan areas and to more unique, exotic locations they couldn’t experience before because they were tied to an office.
Why is property investing a safe choice for investors even in uncertain times?
I always point out to those unsure of entering the property investment world that it is one of the most secure investments they can make. People are always looking for a place to live, even in the midst of a global pandemic.
Also, much of what you get out of your investment property is in your control, while investments like stocks are determined by outside factors.
How did the unemployment crisis affect real estate trends?
The unemployment crisis this year actually had a big impact on the real estate market. I helped both borrowers and lenders manage the crisis by informing them of these changes.
For one, the country-wide unemployment reimbursements helped borrowers keep up with, if not increase the payments made on their loans. These checks also put more money in people’s pockets, so we saw an increase in property investment all together.
Related: Unemployment rose higher in three months of COVID-19 than it did in two years of the Great Recession
What advice can you give to real estate agents working in the midst of a global pandemic?
The biggest piece of advice I can give to anyone working in the real estate industry right now, or at any point, is to earn your client’s trust. This is also my first rule for myself.
Especially now, it’s important that agents are transparent with their clients and communication is clear every step of the way. There will be roadblocks, but if you communicate effectively with your client they’ll more than likely to stick with you.
I also advise agents to keep genuine promises. Making empty promises will not only guarantee the loss of a client, but will waste a lot of time and money on your end as well.
Related: Jacques Poujade Shares: 3 Tips For Avoiding Surprises During The Homebuying Process
What is one trend you know will carry on into 2021?
One trend I see carrying into 2021 is house flipping. The global pandemic has forced people to get creative with making an income, and house flipping is a great way to do so.
Millennials are especially taking advantage of this, due to their creative spirit and their work-from-home lifestyles. Also, as I mentioned before, property investing is an extremely stable investment.
Related: Jacques Poujade: Millennial Real Estate Trends to Watch
