Recovery to start in third quarter
Covid-19 and the government measures imposed to prevent the spread of the coronavirus are having an unprecedented impact on the economy. Unemployment is on the rise and consumer confidence is falling. The general economic downturn is clearly forthcoming, and the real estate sector is likely to experience the consequences, although some real estate sectors are being hit harder than others. The most significant downturn can be seen in the market for hotel and retail properties, whereas investment activity in the residential market remains relatively high. .
Despite the strong impact that the coronavirus crisis is currently having on real estate investments, we expect to see the sector recover relatively quickly. The most significant downturn will be seen in the second quarter, but we expect to see the first signs of recovery in the third and fourth quarters. If we succeed to control the coronavirus, the recovery is likely to proceed in 2021.
In order to withstand the current circumstances, the various players in the market will need to adopt a flexible approach to their clients and other business relations. By focusing on long-term collaboration and partnerships, the market will be able to recover more effectively from the crisis.
In the articles below we outline what we expect to see in the real estate market in the upcoming period and explain more about the impact of Covid-19 on the economy, the investment market, the financ market and the various real estate sectors. Our experts are keeping the content up to date, based on the latest developments, insights and figures.