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Developers' pessimism is growing. “This is an ideal situation to buy an apartment”

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The number of developers expecting housing price reductions has increased significantly. Currently, every fourth person anticipates such a scenario in the coming months – according to the latest Developer Sentiment Index study prepared by the website paƂofert.pl. As experts point out, currently “we have an ideal market situation from the point of view of buyers.”

The Housing Price Change Index recorded its lowest value in history. September 2024 brought the first negative reading (-0.04), in October the index dropped to -0.2. Over 200 development companies from all over the country took part in the study. Ewa Palus, chief analyst at REDNET Property Group, points out that respondents who previously expected price increases now more often indicate price stabilization.

– Currently, almost every fourth developer surveyed expects price reductions. Developers who see room for price increases constitute the margin of the market – only 3.3%. respondents. Last month, companies that talked about growth accounted for over 14%. developers. The change in market sentiment is therefore significant, she said.

Stabilization of sales on the real estate market

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Will lower prices translate into faster sales? According to most developers, not necessarily. The share of companies indicating sales stabilization in the coming months increased to 64.2%.

– Nothing is likely to happen in the coming months that may affect sales results, either positively or negatively. A new program supporting the purchase of a flat will certainly not be launched in the next six months, and there are no prospects for any further changes interest rate cuts and a sharp increase in salaries, which could lead to a significant improvement in creditworthiness – said Katarzyna Tworska, managing director of REDNET 24.

According to the October reading, 19.2 percent. However, the developers interviewed are of the opinion that apartments will sell faster. The group of companies that believe in such a market scenario is decreasing (in September it constituted 32% of respondents).

Read also: Dispute over loan subsidies. “It's hard for us to give up now”

Perfect moment for buyers

– The belief in the improvement in the sales rate, which was recorded by some developers, may result from the fact that banks are offering new promotional loan offers. However, they are mainly dedicated to wealthier people or those who have high income own contribution. It cannot also be ignored that today we have an ideal situation from the point of view of apartment buyers. There hasn't been such a large offer of new apartments for a decade. There is plenty to choose from until the tap on new investments is turned off,” said Ewa Palus.

– Price correction has become a fact and there are more and more discounts on the housing market, especially in projects that have been implemented for some time – she added.

This has an impact on the behavior of people looking for an apartment. Interest in new apartments has increased significantly – the level of inquiries in October was 40 percent higher. higher than in September. Moreover, research conducted by REDNET24 shows that more and more clients of development companies expect price drops.

– Since the beginning of the research, for the first time the number of answers “prices will fall” exceeds the answers “prices will rise”. Currently, up to 33 percent respondents are convinced that apartments will be cheaper. This is particularly clear among customers looking for large, five-room apartments and houses,” said Jacek Matuszko, sales director at REDNET 24.

A new trend is also a significant increase in inquiries about three-room apartments – their popularity increased from 25.7 percent. in September to 37.7 percent in October.

– This probably means a return to the market of families looking for premises for their own needs, including those larger than the 2+1 model. For the past four months, the number of respondents in favor of price stabilization has been almost constant, ranging from 47-49%. total number of respondents – said Matuszko.

Main photo source: Proxima Studio/Shutterstock



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