What factors influence real estate investments?
In the last quarter of 2023, the real estate sector has struggled to cope with price readjustments due to inflation, the policies of the European Central Bank (ECB) and the consequences of the war in Ukraine. In addition, there has been the uncertainty created by the conflict between Israel and the Hamas terrorist organisation. Flat rentals, logistics and offices are the most affected, although the outlook is certainly encouraging. Residential in particular remains the mainstay of investors who will now have to pay attention to a number of factors.
According to BNP Paribas' analysis, European real estate markets will continue to adapt to the new economic environment on the Old Continent, characterised above all by much tighter access to credit than in the past. In fact, the segment in which we are still seeing a complete reversal of trend is still the office segment: the uncertainties that surrounded it during the covid-19 pandemic are more present than ever. The contraction that started in the US has also spread to Europe, and investors are trying to deduce the future through corporate strategies. In addition, increasing pressure to contain the lack of use of buildings and their rapid depreciation could also put downward pressure on the value of these assets.
From DEXTER's Risk Analysis Department, its Director, José Enrique Chasserot, points out that "given this overview of the prospects in each of the sectors, in the end, our funds and we as fund manager and financial intermediary will continue to ask ourselves which one (or ones) we should concentrate our resources and efforts on, while optimising the risk/return ratio".
Faced with the neglect of a substantial part of the real estate credit by traditional banks, focused on other business models, DEXTER, leader in alternative financing with private capital, increases from 2024 its number of products and services, available to customers throughout Spain and operating in all areas of the economy.
What factors influence real estate investments?
In the last quarter of 2023, the real estate sector has struggled to cope with price readjustments due to inflation, the policies of the European Central Bank (ECB) and the consequences of the war in Ukraine. In addition, there has been the uncertainty created by the conflict between Israel and the Hamas terrorist organisation. Flat rentals, logistics and offices are the most affected, although the outlook is certainly encouraging. Residential in particular remains the mainstay of investors who will now have to pay attention to a number of factors.
According to the BNP Paribas analysis, European real estate markets will continue to adapt to the new economic environment on the Old Continent, characterised above all by much tighter access to credit than in the past. In fact, the segment in which we are still seeing a complete reversal of trend is still the office segment: the uncertainties that surrounded it during the covid-19 pandemic are more present than ever. The contraction that started in the US has also spread to Europe, and investors are trying to deduce the future through corporate strategies. In addition, the growing pressure to contain the lack of use of buildings and their rapid depreciation could also put downward pressure on the value of these assets.
From DEXTER's Risk Analysis Department, its Director, José Enrique Chasserot, points out that "given this overview of the prospects in each of the sectors, in the end, our funds and we as a financial manager and intermediary will continue to ask ourselves which one (or ones) we should concentrate our resources and efforts on, while optimising the risk/return ratio".
Faced with the neglect of a substantial part of real estate lending by traditional banks, focused on other business models, DEXTER, a leader in alternative financing with private capital, will increase its number of products and services from 2024, available to clients throughout Spain and operating in all areas of the economy.
