In the first four months of the year there were 6% fewer properties for sale, and the trend will continue, causing prices to escalate.
In the first four months of the year, the real estate market showed signs of a shortage of properties for sale, especially in large cities, showing signs of a slowdown in supply of about 6%, compared to the end of 2021, which may cause a price escalation in the short term, especially in large cities, is what the analysis of the first months of the year of Imovendo shows, according to a statement sent to SUPERCASA Notícias.
Last April there were about 135 thousand properties available for sale against 150 thousand announced at the end of 2021. The biggest drop in inventory was in apartments, while the supply of houses remained relatively stable during the first 4 months of the year.
The figures advanced by digital real estate, show that most of the deals are in the areas of large cities, especially in Greater Lisbon, and that there are fewer and fewer apartments for sale, used or new.
On the property sales side, the pace of business is similar to 2021, with more than 38 thousand properties sold in the first quarter of 2022 and about 13 thousand in April 2022, i.e., demand remains active, despite rising prices and the new constraints on home loans.
In counter-cycle, the digital real estate company, transacted in the first four months of the year more than €10M in used real estate, representing a 60% increase over the previous year, and at the same time allowed its clients to save more than €500,000 in real estate commissions, since the business model differs from current practice in terms of commissions.
"There is still a lot of uncertainty about an interest rate hike, which if it happens will have to be either in July and/or in September 2022 months when the ECB's executive committee meets with the eurozone central bank governors, but it is estimated that such an increase could be in the 25bp range should it occur." Explains Nélio Leão, CEO of Imovendo. "Although the recorded inflation rate is already 4 times higher than estimated last year, an increase in interest rates could lead the eurozone into an unwanted recession." ends
The expectations regarding the purchase and sale of properties on the market, for the first semester is of stabilization compared to the last semester of 2021, both in the Lisbon and Oporto areas and outside these two major metropolitan areas. Based on these figures, the real estate company expects to reach 50 million euros in property transactions in the first half of the year, in Lisbon and Porto, i.e., doubling the number of properties transacted when compared to the first half of 2021.
"It is expected that this uncertainty, the war in Ukraine and the resurgence of a wave of covid will affect consumer confidence and that there will be a slowdown in the real estate market, being a very resilient market during the last 2 years." Nélio Leão also mentions.