legal trends magazine
TRENDS legal magazine – Real Estate No 7 (November-December 2021)
At the end of 2021, the real estate market has confirmed what had been predicted, that buyers and sellers are far apart in terms of price. Housing prices in Europe are rising at the fastest pace since 2006, S&P Global said, as the residential home market recovers from the pandemic faster than other sectors of the economy. Prices rose by 6.9% on average in Europe in the second quarter of 2021, compared with the same quarter of last year.
The report also said that while inflation may have peaked, it is here to stay. For the US Forbes the median existing home price grew by 13% in October 2021 compared to a year ago, according to the latest National Associations of Realtors (NAR) report. While there have certainly been hot seller’s markets in the past, none quite compared to what happened this summer when roughly half of home sales were above the asking price. The same applies to the Asia region where Housing prices have shot up, fuelled by record low interest rates amid the pandemic.
The offce market is suffering globally and so is the retail sector while logistics warehouses are the flavour of the month.
With this scenario we give you our last issue of the LFN Real Estate Trends in 2021, looking at a 2022 RE market, when mortgages rates will increase and experts are moving from a scenario in which prices will still be growing to a potential crash, not agreeing which one is more likely. The first scenario, if you ask me.
I hope our latest issue will help you to keep informed about Real Estate around the world. We say goodbye to a pandemic year, hopefully, and the show will go on.
Rafael Truan Blanco, LFN Executive Director
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