Property industry expectations

Hi Everyone, it's Ed.

In recent weeks we have seen a series of economic expectations being updated from a sucession of surveys. In fact the outlook from the impact from the COVID-19 lockdowns has worsened gradually during April.
So, what is expected to happen to the property market in general and what are the (financial) effects for Buyers, Sellers and Intermediaries.

Probably a confirmation of what many would expect but still some interesting results.


Quite a few major intermediaries worldwide participated in these surveys conducted by Online Marketplaces and it is evident that 95% is currently working in a lockdown environment whilst 70% is in full lockdown.

Home Sales

The latest report shows that around 75% see a significant negative impact on Home sales durng March-April and most others a slight negative impact with only a few percent seeing a slight positive effect on sales.

Home Prices

Nearly 10% of intermediaries see a significant negative effect on prices whilst 55% mention a slight negative impact. About 35% see no impact on prices as yet.

Main reasons

  1. Not being able to connect due to travel restrictions
  2. Buyers are awaiting further price developments
  3. Completions are being delayed due to travel or social distance restrictions
  4. Sellers are taking homes off the market
  5. Issues with financing home purchases.
  6. Distressed sellers take initiative to lower asking prices
  7. Developers of new homes have excess stock
  8. Some oversupply in the housing market in several regions

The next 3 months

About 50/50 between respondents expecting home sales to Decrease or Increase. This shows how uncertain everyone is on the outcome and a possible 'New Normal' put in place.

20% expect a strong decrease in prices with 65% a slight decrease in house prices. The larger balance of 15% for no change or a slight increase.

Industry Loss / Change

80% of respondents expect to either see a fairly sizeable or slight decrease in total members in the property industry. This is a big number and time will tell of course how much fat there is to keep businesses afloat after several months of lock down with less or no income.

Just over 50% of businesses are still closing transactions and so have a few of our partners this month. Property business are rapidly adapting to the changing conditions by improving on IT solutions.

Interesting is that nearly 70% of respondents expects the property industry to change business models and operations. Consider more online viewing, online completion of transactions, more processing efficiency, more remote working and a more centralized service by the larger players in the property space.

Looking forward to hearing from you!


Some of this week's most interesting homes

To Renovate, Great views

Marche, Italy

A great opportunity to purchase a two storey unrestored farmhouse with astonishing view of the Sibillilni Mountains! While situated in a truly beautiful and tranquil setting, in the Aso Valley at only 15 mins from the Adriatic Coast (Pedaso - Cupra Marittima)

Property with gites and stables

Aquitaine, Dordogne

Beautiful house with Gites, Stables, woodland and lots of land - perfect equestrian retreat.
This is a very special property situated in a very private position with the most fabulous views.
There is the main house, an apartment, a Gite, stables, barns, woodland and lots of land.
Viewings are strongly recommended

Equestrian Dordogne
Character property Calvados, Normandy

Pretty house on 1.5HA

Calvados, Normandy

A well presented property in a good situation on the edge of the St Sever national park with detached gite & two fishing lakes.
Close to the towns of St Sever & St Pois.

Renovated to a high standard with a wonderful combination of traditional features and the ease of modern living. Offering three bedrooms, a two bedroom gite.

Presbytery with outbuildings

Manche, Normandy

This property is situated between La Haye du Puits and Sainte Mère Eglise, at Cretteville, 10km from the historic Sainte Mere Eglise and 25km from the fabulous west coast beaches and 18km from the east coast, ferry access to Jersey and Guernsey from Barneville-Carteret.
Easy access to UK and Ireland from the ports at Cherbourg (44km) and Caen (91km), also rail access to Paris and Eurostar from Carentan (15km).

Equestrian, Manche, Normandy
Limousin, Equestrian

Limousin Equestrian property, 3.2HA


Two houses in a secluded setting with 2 'ponds', 3 garages, a hangar, & 2 stables all set in 3.2 hectares of land.

These two houses are set in an elevated position offering stunning, far-reaching views, the land is private and completely fenced.
It is on the edge of a hamlet,

One Comment

Leave a Reply

Your email address will not be published. Required fields are marked *