The global COVID-19 pandemic has affected many aspects of the property market: these behaviours will have major implications for the real estate market. So what could be the lasting effects on real estate assets as the pandemic recedes?
Analysts anticipate home prices will continue to trend upwards in both cities and suburbs even after the pandemic ends, even a minor movement out of cities could have a sizeable impact on housing demand.
Will the property market in Spain rise? The Spanish property market has fallen to a standstill situation, like the rest of the economy in most European countries, although it is expected to resume activity during 2021, with the arrival of vaccinations in the country. The general optimistic belief between promoters is that Covid-19 effects on the newly built property market would only be a delay in launching new promotions, but they don´t foresee significant reductions on the price.
For 2021, I expect this impact of the Corona-virus to continue and potentially even expand, pushing average house prices further down, although during a temporary period and not for all properties.