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Assessing The State Of The Real Estate Franchise Market In The New Year

We are three weeks into the new year and still many people are trying to get a grasp of which way the US economy will turn over the coming 12 months. Projections for the franchising industry all seem to target modest gains for 2012, and the real estate sector, which is one of the franchise sectors that bears the closest links to America's macroeconomy, brings a similar dose of realism to its expectations for next year.

Dave Liniger, chairman and founder of Re/Max, one of the world's biggest property franchises recently recorded a short video for Youtube that outlined his 10 predictions for the housing industry this year. There were three predictions that caught our eye which seemed to suggest that the real estate franchise market could experience sizeable growth in 2012.

  • Interest rate will remain at or near historic lows.
  • Home sales will make steady gains and end higher than 2011.
  • Due to the changing market, consumers will increasingly rely on real estate professionals.

No one is underestimating any of the challenges ahead for real estate franchises for finding qualified home-buyers in a stuttering economy, but there is a hope anyway that if these three predictions come true, that real estate franchises could act a kickstarter for the domestic economy.

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