State of The Market – Feb 2019
How a young company survives the ever-evolving state of the real estate market and economy
By: Kevanté A. C. Cash
In November 2018, Forbes published an article that examined the economic state of the real estate market over the last decade in America. It reported a record, issued by Case-Shiller, of an 18 per cent decrease in home values across the United States as “the subprime mortgage crisis reaching its fever pitch”.
Following the painful recession of 2008, the real estate market has since seen a remarkable improvement in terms of economic prosperity, pushing the market forward by double-digit price growth, rock-bottom inventory and surging buyer demand over the past few years (Forbes, 2018).
In The Bahamas, we understand the importance of observing our neighboring country on all levels, particularly within real estate. It allows us to determine how we progress or regress financially with tourism being our number one industry, and real estate heavily depending on those numbers.
Bahamian Escapes (BE), a partner of H.G. Christie – the oldest brokerage in the country, is exceptionally proud of the work it has done in contributing to the current state of the market as the “new kid on the block”. Though it has only been around for a few years, Founder and Estate Agent, Shamon Campbell has witnessed continuous growth since BE’s entrance.
“We have been a part of the real estate industry here in The Bahamas for just about 4 years. Although we cannot speak much to the state of the market 10 years ago, we can say that since our involvement, the market has grown incredibly. There is a rise in buyers, both local and international, in addition to more and more new developments being introduced across the country. Our company along with our partner and broker has seen significant increases in sales each year since 2014.”
Among conversations to determine whether the current state of real estate is a buyer’s market – which defines when there is a significant amount of inventory in a particular share of the market, or seller’s market – when the inventory in a particular share of the market is low and there is more demand than supply, BE believes the industry locally and internationally is still very much a buyer’s market.
“Our company focuses predominantly on properties over $250,000 including new developments, homes and condos located within the country’s most desirable communities. At current, it is still very much a buyer’s market. We are seeing a rise in new development opportunities in addition to resales of previously developed units. Along with this, the luxury market has a substantial amount of available options between the more desirable communities.”
Since its partnership with H.G. Christie and commencement of offering real estate services, Bahamian Escapes has seen a 30% annual increase in sales. Moving forward into the new year, Campbell predicts a continued rise in the industry at large, and an increase in transactions while representing many more buyers and sellers across The Bahamas.
It is safe to say that Bahamian Escapes has helped to push the state of the market forward in revolutionizing the way both local and international buyers view real estate in The Bahamas. The company’s approach to promote the islands of The Bahamas with its lifestyle brand has set the pace for marketing properties. Though there are some ways to go for the Bahamian economy to reach its fullest potential, Campbell and her team are confident their contributions have and will continue to push the industry to the next level.