External Factors and the Real Estate Essay
External Factors and the Real Estate Industry
11 November 2012
1. The demographic environment:
1.1 Cultural diversity trends and developments Page 3
1.2 Demographics of own area, vs. national demographics and trends Page 3
2. The economic environment: 2.1 The current economic environment Page 3 2.2 Socio-economic factors Page 4
3. The political environment Page 4
4. The technological environment Page 5
5. The competitive environment Page 5
6. The legal environment: 6.1 Regulations pertaining to property ownership Page 5 6.2 Regulations pertaining to land use …show more content…
4. The technological environment: Technology has become an integral part of Real Estate over the past few years. Property software programs have played - and will play an increasingly important role in the future of Real Estate. To remain competitive real estate agencies need to use the latest technology to benefit their business.
The real challenge is to find a software application (programme) that supports all facets of the industry, cutting out the need to duplicate day-to-day work.
The world wide web enables estate agents to operate globally as properties can be viewed from anywhere in the world. An agent can create a virtual office in his car with a laptop, 3G connection and a cell phone.
5. The competitive environment: The real estate industry has often been perceived as an unprofessional industry because there have been no entry standards for those wishing to join the industry. However, this is changing as all real estate agents are now required to obtain the FETC: Real Estate Level 4 qualification to enable them to practice as agents.
This has benefits for both the industry and clients – the industry will have knowledgeable and qualified/professional agents which will enable both buyers and sellers