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Study: specialists estimate a drop in price for flats between 5 and 10%
The specialists estimate a correction between 5 and 10% of the price for flats in Romania, depending on the market/town and on the sector of rentals 28% of the interviwees in a study about the impact of Covid-19 on the real estate market estimate drops both in the rural area and in the urban one, according to RE/MAX Romania, part of the world group in real estate and franchise no.1 at global level.
The company presented the results of a study about the impact of COVID-19 on the real estate market made by the company at European level. Among the most important conclusions are: corrections of price on the sales sector, drops in price on rentals, as well as a slight drop of the volume of tradings.
The study was made on a sample of 2,130 agents and brokers from 27 regions in Europe, with a participation almost equal of women and men, the majority aged between 30 and 5. Half of the participants to the study have experience of at least three year in the RE/MAX agencies.
‘At European level, on the sales sector, over 50% of the specialists estimate drops in price between 5 and 10%. Exception France, Finland, the Netherlands, the Czech Republic and Turkey which estimate growth between 2 and 5% of the price for houses. In Romania, at national level, the specialists estimate a correction between 5 and 10% of the price for flats, with variation depeding of the market/town’ RE/MAX Romania says.
For the rental sector, the interviewees estimate a drop in prices between 10 and 15%. At the same time, 70% of the participants to the study show drops between 10 and 20% of the prices for commercial units. On a local level, 28% of the interviewees estimate drops both in the rural and the urban areas.
Similarly, over 40% of the interviewees estimate a stagnation or slight drop of the volume of real estate tradings in Romania.‘As regards the volume of tradings, the specialists estimate a slight drop at European level, with the exception of France, Poland, Bulgaria where almost 50% of the interviewees estimate growth on the sector houses. Locally, over 0% of the interviewees estimate a drop in the volume of real estate tradings for all types of properties’ the company says.
Similarly, more than 65% of the interviewees to the study estimate a drop in the volume of tradings on the commercial sector, both at the level of sales and that of acquisitions. At the same time, over 40% consider that the number of tradings on the sector of properties for investment will drop.
According to the results, among the reasons which determine the drop in the volume of tradings is the high rate of unemployment and uncertainty, the financial unsafety on the part of the buyers.
In Romania, RE/MAX is the biggest network of franchised real estate offices with the highest number of realtors, at present over 50 franchises and over 500 members. The extension plan at national level of RE/MAX Romania aims, until 2023 at 110 franchised offices and over 1,000 realtors.
At global level, RE/MAX is leader in real-estate, being no.1 franchise at global level on this sector. The company, set up in 1973 in Denver, has today over 125,000 realtors in 8,000 offices, in almost 110 countries all over the world. In Europe, RE/MAX is present in 40 countries, with over 2,000 offices and 26,000 realtors.