New Delta Media study shows confidence in local economies, but not globally

Canton, Ohio – January 30, 2024 – Real estate brokerage leaders are once again bullish on housing and the economy in 2024, according to the newest Delta Real Estate Leadership Survey of more than 130 brokerage leaders, which represents firms collectively responsible for more than 65% of all home sales last year.

Two in three (66%) leaders expect housing demand to improve this year, compared to last year when only one-third of leaders surveyed expected improvement in 2023.

Moreover, over half (53%) of leaders said the US economy will improve in the next 12 months. This represents an about-face for real estate leaders as last year, as 51% expected the US economy to deteriorate in the next 12 months (2023). 

"The Delta survey once again reveals real estate leaders' confidence in the economy increases the closer it is to home," explained Michael Minard, CEO and owner of Delta Media Group. "They are much more confident about their local economy than their state, US or global economy," he added.

When real estate brokerage leaders were asked to rank their confidence in their local, state, US and global economies today versus a year ago, local economies reaped the highest overall confidence (42%), followed by state (33%) and US (29%).

"Leaders have little confidence in the global economy," Minard added. "Only 3% were more confident of the global economy today versus a year ago, with 57% less confident. Forty percent said their confidence remained unchanged," he added.

Still, one in five real estate leaders believe the US economy (20%) will deteriorate or deteriorate significantly in 2024. 

Business size impact

Results also showed that brokerages with higher transaction volumes and more agents tend to exhibit more confidence in the economy, especially at local and state levels. The confidence tends to decrease for all brokerages as the scope of the economy broadens, with the global economy showing the lowest confidence levels across all transaction volumes. These patterns suggest larger brokerages' economic outlook potentially reflects on their market stability and financial health.

Demographic impact

The Delta study found a notable difference in confidence levels between male and female respondents and by age. Males are significantly more likely to be "More confident" about their local and state economies than females. Younger age groups also tend to exhibit more confidence in all economies, especially at the local level.

Confidence levels in the US economy are generally lower than local and state economies for both genders and ages, with males still showing slightly higher confidence. For the global economy, confidence levels are lowest among genders and all age groups. Females showed no confidence in the global economy, and males only had a marginal confidence level.

The data revealed overall that real estate leaders with more confidence are typically younger and male, leading larger firms with higher transaction volumes. They exhibit more optimism, especially in local and state economies.

Leaders with less confidence tend to be older, often female, leading smaller firms with lower transaction volumes and are generally more cautious, particularly about the broader US and global economies.

About the survey

The independent research was conducted in December 2023 by Delta Media Group, one of America's largest technology solutions providers for real estate brokerages.

More than one in four (28%) of the leaders responding manage brokerages with more than $1.5 billion to over $10 billion in projected 2023 transactions; nearly one-third (31%) manage brokerages with over $500 million to $1.5 billion; 31% manage brokerages with over $100 million to $500 million, and 10% manage brokerages with less than $100 million in total transactions.

Participants included leaders from all sizes of brokerages: 14% were managing brokerages with more than 1,000 agents; 12% with over 500 to 1,000 agents; 38% with more than 100 to 500 agents; 16% with over 50 to 100 agents; and 6% with 50 agents or fewer.

Forty-four percent of the respondents are 60 or older; 32% are 50 to 59 years old; 14% are 40 to 49 years old; 8% are 31 to 39, and 1% are 18 to 30 years old. Notably, 74% of those surveyed are male, and 26% are female – up from 21% female last year.

About Delta Media

Delta Media Group, Inc. is one of America's largest real estate technology solutions providers for real estate brokerages. Located in Canton, Ohio, it is the inventor of DeltaNET, considered the industry's most advanced CRM-based, all-in-one digital marketing platform. The largest family-owned business in its space, Delta is the trusted technology partner for many of the best-known real estate brands, including more than 80 LeadingRE Affiliates and over 50 top-ranked brokerages nationwide. Discover more at deltamediagroup.com.