THE REAL ESTATE MARKET. A SECURE ASSET IN TIMES OF WAR

Despite the inevitable collapse of house purchases by Russian citizens and the unstoppable advance of inflation -even more pronounced as a result of the conflict-, real estate will not be one of the worst off sectors

Many savers can once again look at real estate, and more specifically at housing, as a refuge value and focus on more stable assets. The sector thus recovers its well-deserved status as a safe option during crises and as a true bulwark against inflation

In Grupo Insara, we work every day to offer the best to our customers. We are currently promoting Villa Amalia Mediterranean Gardens, with great sales success.

We are very close to launching phase two of the project

WHICH ARE THE EVENTS THAT WILL AFFECT THE REAL ESTATE SECTOR IN 2022?

The Ukraine-Russia crisis can affect prices, but also the new housing law, the increase in general prices due to inflation and other aspects.

Due to inflation, the rise in raw material costs and an increase in the prices of other basic products, house prices are expected to rise in 2022

It was something already expected by experts before the war between Russia and Ukraine broke out.

Thus, in 2022, the price of housing will maintain its momentum, led by the increase in new housing, which will close the year with an expected year-on-year growth of 4.5%. “This increase reflects, in part, the tensions in global supply chains and their effect on construction costs and deadlines,” explains the director of the CBRE Econometric Forecasting department, Joan Pina. The number of new construction permits is also expected to decrease slightly in 2022, to 102,000, 5.6% less than in 2021.

The consulting firm Colliers considers that the sanctions imposed on Russia will affect “very significantly” the possibility of investing Russian capital in Spain in the short term. “Firstly, because of the list of people affected by these sanctions established by the United States and the European Union, directly or indirectly through their companies. Secondly, because of the enormous impact that this situation is having on the value of the ruble that this Monday was devaluing more than 50% in the Asian markets”, explains Mikel Echavarren, CEO of Colliers.