WHY REAL ESTATE IS ATTRACTING GLOBAL INVESTORS IN 2021

If you were looking for the right moment for investing in real estate, then 2021 might be the year for you. The real estate sector, which was thrashed by the pandemic, has finally started finding its feet. There have been many specific signals that show a rebound. Even among the high adoption of Work from Home (WFH) by corporates, office transactions also witnessed a healthy bounce-back till the end of 2020.

The latest real estate trends can be best described as a mixture of both positive and negative developments. The prices of real estate property are shooting up, which is being caused by various factors. Most of these have been heavily affected by the COVID-19 pandemic. With a complete downfall in the economy and how people live and work, people would notice new trends in 2021.

• Impact of covid-19

Homeownership rates have been uplifted and will likely continue at a 5% rate in 2021. COVID-19 has caused new housing preferences for home offices, larger spaces, and outdoor amenities. Many companies are reopening and recovering from the impact of the previous situation, which results in the growth of the global real estate market.

• Lower mortgage rates

COVID-19 outbreak caused lesser consumer spending and drove mortgages to sink lower. Many sellers took advantage of low mortgage rates and refinancing by new homeowners. Decreased rates of mortgage are great for the economy.

• Home sales are growing

The housing market has seen growth in sales. It is currently a sellers’ market; buyers are facing more competition. Investors should gain profit from this trend.

• Introduction of new technology trend

Real estate buyers and sellers are seen using the latest technologies. Everyone’s goal in the sector is to provide better services to clients that involve online home selling platforms such as apps, social media, and innovative home technology. Technology firms and start-ups emerging in the industry are expected to increase. AI will play the next significant role in real estate.

• Amenities and luxury homes

The market for luxury homes will grow due to new customer preferences. The number of luxury home listings will also continue to increase. Many investors have redefined their investment strategies in response to developments in the market. Real estate players seek to attract tenants using amenities. Unique amenities will be demanding new homes.

Like other sectors, the real estate realm has just started adjusting to the pandemic and the new normal situation. While this crushed sector has begun recovering from the crisis, uncertainties continue to linger. As we advance, the sector’s recovery will be directly linked to the Covid19 situation and the economic recovery. 2021 will undoubtedly be a year of cautious optimism for most sectors, including real estate.