The number of property investments increased in the first five months of 2013. Until the end of May HUF 3.7-billion-worth of property was sold, which is 30 percent higher than that in the same period of last year.According to the results of the annual investment survey of the international commercial real estate services firm CBRE – which had 360 participants – Central and East Europe is the most attractive area for investments for 14 percent of the investors.
The Hungarian Market Also Shows an Increase
The largest increase was experienced in Russia with the amount of EUR 2.5 billion, which equals two-third of last year's total turnover. The Polish and the Czech property market also shows an increase: now the investors are interested not only in luxury real estate. The Hungarian property market has also risen: 2013's first quarter's turnover was more than last year's total.
Luxury Real Estate Is Not the Only Real Seller Anymore
There's still a large demand for luxury real estate: in the first five months of 2013 ten more than EUR 100-million-worth of property was sold, including a shopping center in Krakow called Silesia City Center, which was sold for EUR 400 million. But luxury real estate is not the only real seller anymore, since investors are more and more interested in the non-premium properties as well. The reason is they expect a huge profit from non-luxury but high-worth properties with a favorable location. Thus they seek for commercial and office properties not only in the big cities, but in smaller ones, too.
Experts Expect Further Increase
Excluding the void ones bought for recycling, investors have bought EUR 151-million-worth property in Hungary this year. This amount is higher than that of last year. Real estate experts expect further increase. Since investors are more and more willing to take risks, according to the experts' evaluation in the next two years we can expect a 6-percent-growth in each year.
Source: www.cbre.hu
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