2023 - What a Real Estate Ride in Barbados

Let’s talk about Rentals.

The trend has and still is limited inventory, which leads to an increase in prices. Landlords are benefiting from this trend, but they have also become more selective in their screening process for prospective tenants. As a tenant, you should expect to provide references and fill out various screening forms to secure a rental property in this market.

Let’s talk about the Sales Market.

The real estate sales market is currently very competitive, and it's not uncommon for properties to receive multiple offers. Some properties never even make it to the market before they are sold. As a result, prices have slightly increased. Hence a good reason to have a professional agent to keep you in the “Know”. Homeowners have learned from professional agents that to achieve these results, they must attractively present their property.

The commercial real estate market, both for rentals and sales, has been slower than the residential market. However, with the return of many workers to offices, this situation is starting to remedy itself. Landlords who have well-prepared spaces are gaining an edge over their competitors. In this sector, office spaces are trending with different fit-out designs. More open spaces, shared desks, greening options and more automation to name a few.

It is important to note that lending institutions in Barbados have been maintaining their mortgage rates for residential properties between 3.5% to 4.0%. This has helped to keep the market active. In contrast, mortgage rates in Canada and the US are trending around 7% with property prices at an all-time high. This has resulted in an increased investment interest in Barbados.

(*The mortgage rates above are just an average of the market)

?Let’s talk about Development for 2024.

Development is taking place at a rapid pace all over Barbados, resulting in a plethora of investment opportunities and job openings in every sector of the economy.?

From my perspective 2024 is looking to be a very productive and exciting year.

How to Prepare for the positive trends for 2024.

?As a landlord, it is crucial to ensure that your property is well-maintained if you want to compete with new builds soon coming to the market. However, finding reliable artisans for any upgrades or fixes can be challenging due to the high demand for their services caused by the ongoing construction activity.

If you're currently renting a property, it's important to be well-prepared and act fast when looking for a new place to stay. Consider drafting a letter to include with your screening form to help you stand out from other applicants. Keep in mind that landlords are primarily interested in finding tenants who are reliable, responsible, and able to pay their rent on time. Therefore, make sure that your application highlights these qualities and showcases you in the best possible light.

?If you're planning to purchase a property this year, it's important to speak with a lending institution first. Make sure to secure a good interest rate and favourable terms. Find a reliable and professional agent who is reachable. When you finally find the property you want, it's crucial to be prepared to make an informed offer. This means having your financing in order and ready to go.

If you happen to have some extra cash and looking to invest it, Real Estate can be a reliable option. It is highly recommended to meet with a professional Real Estate agent who can not only provide you with insights on the market trends but also connect you with other industry professionals. This will help you position your investment in the best possible way to get the highest returns that suit your requirements.

I hope that the above trends will assist you in achieving your goals for 2024, remember the Real Estate Market is always moving so be ready to pivot and think outside the box.

Feel free to contact me anytime for a chat about the market or your needs to achieve your real estate goals. My bespoke company, Equity Realty Barbados Inc, which I founded in November 2023 after working in the Real Estate Sector for over two decades, allows me to offer a variety of personalized services to make your real estate experiences enjoyable.

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