Current 2020 Real Estate Market Situation: Changes And Trends
Various sectors have been affected due to the current pandemic caused by Covid-19. One of the big changes we have seen in the 2020 real estate market.
In this article, we analyze how it is affecting the buying and selling of real estate. Has the real estate sector been affected? What is the evolution of prices after confinement?
In this article, we are going to analyze the keys to the real estate sector in the current pandemic situation . As well as the evolution of property prices in the Valencian Community.
To do this, we will first see what the expectations of the sector were at the beginning of 2020.
Expectations of the real estate sector 2020
The real estate sector expected a “controlled slowdown”. After several years of growth, a smaller increase was expected for 2020, where consolidation of market prices was expected.
This slowdown occurred within a context in which the growth prospects of the economy were also suffering: from 2.4% to 2.0% in 2019 and from 1.9% to 1.5% in 2020 ( according to CaixaBank Research). A slowdown that is attributed, among other reasons, to the impact of lower world growth.
The demand for housing was beginning to stabilize. Although according to data from the INE, based on the College of Registrars, the sale of homes fell by 3.3% in 2019. Due to the temporary impact of the implementation of the new mortgage law that came into effect last June.
The price of housing in the Valencian Community was in January 2020 at € 1,381 / m², and according to different studies, it was expected that for this year the price of housing would drop between 3% and 4%.
Change in the real estate market 2020 in the Valencian Community after Covid-19
In June 2020, the price of housing in the Valencian Community is € 1,331 / m². So to date, it has suffered an expected drop, exactly 3.6%.
However, the 2020 real estate market has not behaved equally in the three provinces.
Alicante is the least affected province. According to the quarterly variation offered by blue world city Islamabad, the m² of the home has decreased by 0.8%, reaching € 1,551 / m² in June.
Castellón, on the contrary, is the province where the price per m² of housing has dropped the most. Up to 8.1% less in the quarterly variation, reaching € 1,002 / m².
Valencia remains above average. With a decrease of 4.4% compared to the previous quarter, placing the price of the house at € 1,174 / m².
In general terms, the price of housing has fallen, as was anticipated at the beginning of the year. However, to better see and understand the situation, an exhaustive analysis of the population, as well as the types of housing, would have to be carried out.
Undoubtedly, the most affected are homes located in the centers of large towns, with small spaces, or without a terrace. While residential homes are maintained, in some cases, they even appreciate.
The most demanded dwellings and areas after confinement
In recent months we have realized that space is something essential, but we have not been aware until now. It has been necessary not to be able to leave the house to realize from our windows, everything that surrounds us.
As we can observe people’s habits are changing, we have realized that there are infinite possibilities to enjoy our home. To that, we must add that teleworking has come to stay.
The companies began to establish it with the confinement and many of them are going to maintain this work methodology. What makes it more necessary than ever is to have an extra room where you can carry out your work comfortably and without interruptions.
The idea of going from a flat to a semi-detached, semi-detached, or semi-detached house, seduces many people who have considered after this global confinement that they are going to leave things behind.
They stop seeing other buildings to see green trees, they stop hearing the traffic in the streets, to hear the birds, who want to go from walking through the tumultuous streets of people for walks in garden areas, from noisy and gray walks to enjoy the silence and green areas.
The variety of residential homes that we find on the market at the moment is large and varied. From scattered chalets to spacious resorts. From semi-detached houses where we will generally have common areas for all neighbors, to independent chalets where we can enjoy ours in private mode. Urbanizations close to the city and other more secluded ones.
As we can see, the price of housing, in general terms, has decreased. However, if we go into detail, we can see that depending on the location and type of the property itself, some homes are revaluing and increasing in price.
If you are interested in changing to a better home, we recommend the following article: How to change to a better home?
Although if what you need is professional advice, do not hesitate to contact us. At PRIMER GRUPO we are aware of all the changes that have occurred in the 2020 real estate market. We can give you the best advice to help you find your ideal home.
Tips for selling business premises fast
We live in a time when the new prices of the real estate market are growing at an enviable rate after the fall they suffered during the economic crisis.
This means that a favorable scenario has been created to be able to sell commercial premises quickly. Why? Because properties are now being revalued, especially if they are located in large cities such as Barcelona or Madrid.
However, there are people who prefer to keep waiting to see how the real estate appreciation progresses and thus sell at the peak. Although we believe that this way, more risks are run.
However, we know that selling a property is never easy. Therefore, we are going to give you a series of tips that will help you sell your business quickly.
8 essential tips to sell your business premises fast
If we were in your place and we wanted to sell a commercial space quickly, we would follow the following advice to the letter:
1. Set the price
It is, without a doubt, one of the first decisions we must make before putting business premises up for sale.
To do this, it is convenient to check what the price level is in the area and to be able to compare our premises with others with similar characteristics. If this is the cheapest option, another possibility is also to ask an appraiser to give us an estimate.
2. Hire real estate mediation services
To be able to sell the commercial premises in the best conditions, having the help of professional real estate services specializing in real estate mediation may be the best.
3. Obtain a simple note and deed of ownership
Unfortunately, there are a number of legal requirements in order to sell business premises. One of them is the need to provide the buyer with the necessary information to prove that we own the premises through a copy of the deed or a simple note, which can also be requested from the Property Registry electronically.
Having a plan is especially important when selling commercial premises since the distribution of the premises will depend on the use that can be given to it.
Thus, it would be advisable to go to a technician to draw up some plans for the layout of the premises.
5. Statutes and community of owners
It is essential to have them in order to know if there is any prohibited activity or if the commercial premises you want to sell has some kind of limitation from the Community of Neighbors.
Thus, we can request the community statutes from the property administrator or the Property Registry.
If the commercial space you want to sell is rented, the buyer will most likely ask you for a copy of the rental contract. Furthermore, it is important to observe whether the contract confers on the lessee a pre-emptive right of purchase.
7. Taxes and licenses
Another elements to take into account are licenses or taxes such as IBI, of which the business premises must be up to date with payments at the time you decide to sell it.
8. Take care of the image
It is essential that the premises be clean and tidy in order to promote its sale and that, during visits, it generates a good image.
For this reason, some reforms (although small) can sometimes greatly revalue the sale price of the commercial premises.
With this little guide you will be able to sell commercial premises much faster, but if you still have more doubts, don’t worry. At Tajarat properties we have several years of experience in the real estate sector and, in addition, we are specialists in real estate sales transactions.
So don’t hesitate to contact us. You can visit us at any of our offices, although you can also do it online. We will surely be able to find where to sell commercial premises in a short time.