| Demographics play a very large part in commercial investments, from advertising to product development. This article looks at the implications population data plays in real estate investment, where city and state population demographics are even more important.
Population demographics influence the direction society takes, from business planning to healthcare infrastructure, from education programs to style choices. Demographic elements like age, income, ethnicity, gender, mobility, employment and other demographic factors determine the shape of our society.
Real estate is no less affected by the ebbs and flows of demographic trends, particularly income, aging, family situations and employment. Consider a real estate broker, whose livelihood depends on people changing homes. Economic mobility is a key determinant in the future of his business, as is the economic health of the city and state.
"I look to see how fast the economy is growing, and how many jobs are likely to be created as a result, to determine the resources my business will need over the next five years," says Terry Denoux, who runs a Bend, Oregon, US, real estate website.
Development planning relies even more on population data to determine priorities. The average |
