What are Influencing factors in real estate?

Demographic changes - the study of population trends Employment conditions and wage levels - strong employment/raising wages = more new home owners. Mortgage volume and interest rates - loans are only made the lenders feel that real estate is a good/beneficial investment. - interest rates high = people stay in their homes - interest rates are low = more affordable mortgages, consumers react accordingly. Building activity = Solid building activity normally indicates a strong real estate market -over building = depress real estate values.