Housing demand is outpacing available housing supply.

Jul 13, 2026

 

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Jul 13, 2026

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Greetings, Closers!

If the thought of filming a TikTok dance makes your skin crawl, don’t worry. I’m not telling you to start dancing. But if you’re ignoring TikTok altogether, you may be overlooking a growing pool of buyers searching for a local real estate expert.

Understanding today’s buyer goes beyond knowing which app they’re using. It also means understanding where they want to live, how they want to live, and why those preferences are reshaping the housing market.

Here's what you need to know today:

  • Housing demand is driven by migration and changing lifestyles, not just population growth.
  • A proposed McDonald’s is dividing a Long Island community over new development.
  • Use TikTok to reach younger buyers and grow your brand with short-form video.
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Market Pulse

It’s easy to assume that slower population growth means the housing shortage should begin easing. But that’s not how housing demand works. The bigger issue isn’t simply how many people live in the US; it’s where they want to live and what type of home they need. As people relocate for jobs, affordability, retirement, or lifestyle changes, demand shifts while the existing housing stock stays exactly where it was built.

Graph via Homes.com

That’s creating a growing mismatch between yesterday’s homes and today’s buyers. Many communities have an abundance of large suburban homes but a shortage of smaller, more affordable options. Former manufacturing hubs may have plenty of housing but fewer residents, while fast-growing markets continue struggling to build enough homes to keep pace. Housing itself is remarkably durable, often lasting decades or even centuries, but buyers' needs evolve much faster.

This helps explain why affordability challenges continue even as national population growth slows. The question isn’t simply whether we have enough homes. It’s whether we have the right homes in the right places. Until construction better reflects today’s migration patterns, household sizes, and affordability needs, many markets are likely to continue experiencing supply shortages, pricing pressure, and intense competition for the homes buyers actually want.

What this means for agents:

✈️ Migration matters as much as inventory: Understanding where people are moving and why can help agents identify emerging opportunities before they become obvious.

🏠 Buyers are prioritizing different homes: Smaller floor plans, flexible layouts, multigenerational living, and affordability are becoming increasingly important as household needs continue to evolve.

🧠 Know your local supply gaps: Clients benefit from agents who understand not just inventory levels, but which types of homes are undersupplied in their market.

Pulse Check

Have you ever gained a client directly from social media?

Yes, regularly
Yes, a few times
Not yet, but I’m actively trying
No, and I don’t use social media for lead generation
 

Pulse Check Results

What’s the biggest challenge your sellers are facing?

 

Investor Intel

A proposed McDonald’s drive-through in Huntington, New York, recently drew such a large crowd at a zoning hearing that officials postponed the rest of the meeting’s agenda. The debate wasn’t really about hamburgers. It was about what types of commercial development neighborhoods are willing to accept and how those decisions can affect traffic, quality of life, and nearby property values.

For commercial real estate investors and developers, that’s an important reminder that tenant selection is only part of the investment equation. Residents and homebuyers often view grocery stores, coffee shops, and neighborhood retail as amenities, while businesses that generate heavy traffic, noise, bright lighting, or late-night activity can face significant opposition. A project may make financial sense on paper, but community resistance can delay approvals, increase development costs, or stop a project before construction even begins.

That means successful investors spend just as much time evaluating zoning history, traffic studies, neighborhood sentiment, and local approval processes as they do underwriting the deal itself. As projects become more complex, staying organized becomes a competitive advantage. That’s why I recommend using a project management platform like Monday.com to keep due diligence, permitting, contractor timelines, approvals, and development milestones in one place, making it easier to spot delays before they become costly problems.

The lesson extends far beyond this one proposal. The strongest commercial investments aren’t simply the ones with the highest projected returns. They’re the projects that fit the surrounding community, navigate the approval process efficiently, and create long-term value for both investors and the neighborhood they serve.

What investors are prioritizing now:

  • Neighborhood compatibility: Investors look beyond traffic counts and demographics to assess whether a proposed tenant fits the surrounding community. Businesses that complement nearby residential areas are often more likely to gain public support, secure approvals, and create lasting value.
  • Traffic and infrastructure impacts: Vehicle access, parking availability, emergency vehicle routes, and traffic flow are becoming increasingly important underwriting considerations. Even financially attractive developments can lose momentum if infrastructure concerns create neighborhood opposition or require costly design changes.
  • Disciplined project execution: As developments become more complex, investors are placing greater emphasis on organized project management. Keeping due diligence, permitting, contractor schedules, approvals, and project milestones on track helps reduce costly delays and keeps investments moving from acquisition to completion more efficiently.

Your Move This Week:

👀 Research the zoning history of your target market.

🚗 Review local traffic patterns and surrounding businesses.

🤝 Determine if your proposed investment would be compatible with the community.

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Luxury Lookout

As a real estate agent, one of the first things buyers often ask me about a home is the garage. How many cars will fit? Is there room for other recreational vehicles? Can I add lifts? This $3.5 million Mattituck property takes that conversation to an entirely different level.

Photo via Zillow

The over-13,000-square-foot “barndominium” includes parking for more than 45 vehicles and, in an unusual twist, collector cars are included in the sale. Even more interesting is the listing’s language. Rather than saying the home is looking for a new owner, the description states the property is awaiting its next “curator”. That’s a subtle but important distinction. The buyer isn’t simply purchasing real estate; they’re inheriting and continuing a carefully assembled collection and lifestyle.

This property reflects a broader shift in luxury real estate. For many affluent buyers, the home is increasingly becoming a place to showcase passions rather than simply display wealth. According to Business Insider, the world’s ultrawealthy spent more than $100 billion on luxury cars in a single year, making luxury transportation their largest personal luxury expenditure. Reports also found that many luxury car buyers increasingly view rare vehicles as collectible assets alongside other investments. For buyers like these, a 45-car garage isn’t excess. It’s purpose-built storage for a collection.

Photo via Zillow

The marketing reinforces that idea. This isn’t presented as a three-bedroom home with a large garage. It’s described as “a statement of lifestyle,” where the garage becomes the centerpiece, and the residence supports the collection around it. In today’s luxury market, buyers aren’t always looking for more bedrooms or bigger kitchens. Increasingly, they’re looking for homes designed around what they value most, whether that’s cars, wine, art, aviation, wellness, or sports. Sometimes the collection becomes the home’s defining luxury feature.

Broker Playbook

For years, brokerage marketing training centered on websites, Facebook, and email, but consumer behavior has changed. Younger buyers are increasingly using TikTok, Instagram, and YouTube as search engines to research neighborhoods, local businesses, and even the real estate agent they want to hire. Yet according to NAR, only 16% of REALTORS currently use TikTok professionally, despite roughly 40% of US adults using the platform and nearly six in ten adults under 30 being active there.

For brokers, this is a training opportunity. Your agents don’t need to become influencers, but they do need to understand how today’s consumers discover real estate information. The most effective content isn’t highly produced listing videos; it’s short, authentic videos that answer buyer and seller questions, showcase neighborhoods, highlight local businesses, and demonstrate expertise.

The brokerages that embrace short-form video today will have an advantage tomorrow. Training agents how to create repeatable content, optimize videos with searchable keywords, and consistently educate their audience helps position both the agent and the brokerage as the local authority. Consumers are already searching for answers on these platforms. The question is whether they’ll find your agents or someone else’s.

What’s working right now:

  • Building a video content library: Have agents create short videos answering the buyer and seller questions they hear every week. Over time, this becomes a searchable resource that continues attracting clients.
  • Teach search-first content: Train agents to create videos around phrases people actually search, such as “moving to Austin,” “first-time homebuyer tips,” or “best neighborhoods in San Francisco.”
  • Focus on consistency over perfection: Encourage agents to post two to three helpful videos each week. Authentic, educational content often outperforms highly produced videos because it feels more relatable and trustworthy.

What We're Reading

🚨 Foreclosures reach a 7-year high: Realtor.com reports foreclosure activity has climbed to its highest level since 2019 as pandemic-era relief programs end, creating discounted buying opportunities in some markets.

🤖 AI is fueling San Francisco’s housing surge: The Guardian says booming AI wealth and limited inventory are driving intense bidding wars, with more than 140 homes selling for at least $1 million above asking price in the first half of 2026.

👔 Luxury agents are investing heavily in their image: A Moneywise feature explores how top luxury agents are spending thousands on clothing and personal branding, while emphasizing that long-term success still depends on experience, trust, and negotiation skills, not appearance alone.

Meet Our Writer

 
Sophia Doyle

Sophia Doyle

Staff Writer

Sophia Doyle is a staff writer at The Close and a licensed New Jersey real estate agent with hands-on experience in residential real estate. Sophia brings real-world insight into today’s housing market, combining on-the-ground agent experience with a strong background in communications. She understands the full transaction lifecycle, from lead generation and client relationships to marketing strategy and deal execution. Through her writing, Sophia delivers clear, practical guidance to help agents navigate an evolving industry with confidence and creativity.

 
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