The post-pandemic trends had made real estate operators rejoice thanks to promising growth rates, accompanied by a steady increase in sales and prices. All estimates have recently been revised downwards due to the start of the war conflict in Ukraine which, not only has created scenarios of uncertainty about the stability of political equilibrium in the old continent, but is having serious effects on inflation. In a picture completed by a generally low level of unemployment and an active market in every sector, it will be necessary to see what the long wave of instability in Eastern Europe will produce, and how much this will concretely affect real estate exchanges. To be able to sell the house at the best price it will be necessary to know the price trends both locally and nationally, and for this reason contacting a real estate agency such as RockAgent, could prove to be the right choice to juggle without risk in a market characterized by evolving equilibrium.
Let’s see what are the real estate trends in some European countries.
After an almost total stalemate during the heaviest period of the pandemic, the home brick market has gradually recovered, registering promising growth rates but still lower than those recorded in 2019. Prices are rising, even if in reality no drastic drops were recorded during the health emergency. A trend confirmed from north to south is that which sees an increasing interest in housing solutions with more interior space, possibly accompanied by large outdoor areas and gardens.
The word that best sums up the situation in the transalpine country is: stability. Re-election for a second term of the President Macron it will give a new pro-European push to the reform program started in 2017. And the political framework is also positively influencing the economic one which so far – apart from the increase in prices – has not encountered any particular setbacks. The production sector of the transalpine country is proving strong, thanks also to a lower energy dependence on Russia. Real estate investments on the French market remain stable, with a significant increase in percentages compared to the pandemic scenarios.
At the beginning of 2022, Germany’s economy showed clear signs of recovery, but this was to be expected given the particularly difficult autumn experienced by German citizens due to the heavy restrictions put in place to counter the devastating wave of infections from Covid. The economic sector remains healthy and the unemployment rate has fallen below 5%. The heavy dependence on Russian gas will be a factor that can only have effects on growth and prices, and which in all probability will push the German government even more to invest in sustainability and renewables. Investments within the real estate sector remain stable, with an eye to those quality spaces inserted in particularly requested city contexts. The cost of rents is also stable.
The economy of the Iberian country has also started its recovery path for months after the health emergency, but the conflict between Ukraine and Russia has entailed a substantial adjustment of the growth rates, which in any case remain the most promising within the EU. .
From the point of view of the real estate sector, it is the offices and spaces dedicated to work that have been particularly penalized by the pandemic, but the increase in demand expected for the coming months will lead to a recovery of this sector niche too, with an eye with regard to those solutions that focus more on the flexibility and functionality of the spaces.
The Ukrainian conflict is most felt in Eastern European countries and it was inevitable that there would be slowdowns in investments. In addition, with runaway inflation, the Prague government has decided to raise interest rates, effectively making mortgages less attractive and affordable. The availability of housing solutions is still quite high, but builders are opting to limit the opening of new construction sites, discouraged by the high cost of raw materials. This type of stall is causing speculative effects on prices, favoring a contraction in the number of transactions.
Source: RSS DiariodelWeb.it Economia by www.diariodelweb.it.
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