10 Mar 2025

In January 2025, U.S. construction spending unexpectedly declined by 0.2%, driven by reduced multi-family housing investments. Private construction fell by 0.2%, with residential spending down 0.4%, though single-family home construction saw a 0.6% rise. Home renovation spending continued to grow, reflecting shifting homeowner priorities amid high mortgage rates and potential tariffs on construction materials. Non-residential investment remained flat, while public construction rose 0.1%, led by a 3.2% increase in federal spending. Despite economic pressures, single-family homes and renovations remain resilient, offering some stability to the challenged U.S. construction sector.Read more

10 Mar 2025

In January 2025, UK mortgage lending surged to GBP 4.207 billion, the highest since September 2022, surpassing expectations. However, mortgage approvals fell slightly to 66,189, indicating a potential slowdown ahead. The rise in lending was partly driven by the upcoming end of a stamp duty tax break, prompting increased home purchases. House prices continue to trend upward, as reported by Nationwide and the Royal Institution of Chartered Surveyors. Meanwhile, consumer credit rose by GBP 1.74 billion, the largest increase in a year, reflecting higher household spending. The data signals strong lending but potential moderation ahead.Read more

06 Mar 2025

Allianz, Europe's largest investor, reported a 7.7% decline in its real estate portfolio in 2024, reducing its value to EUR 53.9 billion, following a 6.2% drop in 2023. The downturn aligns with global commercial real estate struggles, driven by high office vacancies, falling property values, and post-pandemic shifts to remote work. Despite this, Allianz's net profit surged 15% in Q4 2024, reaching EUR 2.47 billion, exceeding market expectations. Institutional investors worldwide are rebalancing portfolios, shifting focus from commercial to residential real estate, reflecting rising demand for housing in high-growth areas.Read more

06 Mar 2025

Hong Kong's private home prices fell 0.4% in January, marking the second consecutive monthly decline and bringing the total price drop to 7.2% in 2024. Since peaking in 2021, home prices have fallen nearly 30%, pressured by higher mortgage rates, an economic slowdown, and an exodus of professionals. Despite reduced stamp duties and eased property restrictions, demand remains weak. Analysts predict a potential 5% price rebound in 2025, contingent on interest rate cuts and geopolitical stability. Hong Kong's housing slump reflects broader real estate struggles in China, Singapore, and global cities facing affordability and economic headwinds.Read more

05 Mar 2025

Bank Indonesia (BI) committed 130 trillion rupiah (USD 7.9 billion) to support President Prabowo Subianto's affordable housing programme. This was confirmed by presidential adviser Hashim Djojohadikusumo, who also mentioned foreign investor interest in the scheme. As part of the plan, BI will purchase government bonds in the secondary market, while the finance ministry is contemplating issuing project-linked bonds. To support housing loans further, BI is cutting reserve requirements for banks, releasing 80 trillion rupiah in liquidity. The program, aligned with Prabowo's campaign vow to construct three million affordable homes a year, is expected to increase homeownership and economic growth.Read more

05 Mar 2025

Nigeria's economic crisis has triggered a housing affordability crisis in Lagos, where rents have surged by 120% in Lekki and 28% on the mainland due to inflation and economic reforms. With a population of over 20 million, Lagos already faces severe housing shortages, further exacerbated by currency devaluation and the removal of fuel subsidies. Similar rent hikes are reported in Abuja and Port Harcourt, pricing out middle- and low-income earners. Experts warn that Lagos must accelerate affordable housing projects to prevent worsening inequality and address rising living costs in Africa's largest city.Read more

05 Mar 2025

After years of crisis, China's property sector is showing signs of recovery, attracting institutional investors and hedge funds. Shares of Hong Kong-listed mainland developers have surged 15% this month, led by state-controlled firms like China Vanke. Investors such as Shanghai Chongyang Investment and Golden Nest Capital are betting on a rebound, fueled by government intervention and market consolidation. While smaller cities still struggle with unsold inventory, prime city home prices are rising. This mirrors global real estate trends, with New York, London, Mumbai, and Dubai witnessing renewed investor interest in luxury and distressed properties.Read more

04 Mar 2025

CRH, the global construction materials company, forecasts a 6% to 12% increase in core profit in 2025, up from 12% in 2024. The company's performance is driven by robust infrastructure and non-residential construction activity, notably in North America, where it earns 75% of its revenues. CRH is benefiting from growing US public capital spending and "reshoring" trends, which are enabling large projects for Intel, Samsung, Ford, and Micron. With a predicted adjusted EBITDA of USD 7.3-7.7 billion in 2025, CRH continues to benefit from increased infrastructure investment and the expansion of manufacturing and data centre construction in the United States.Read more

04 Mar 2025

German property financier Deutsche Pfandbriefbank (PBB) reported a modest decrease in net profit to EUR 90 million in 2024, down from EUR 91 million in 2023, citing a delayed rebound in real estate markets. Risk provisions fell to EUR 170 million from EUR 212 million, owing primarily to unstable U.S. office loans and German property developments. With rising office vacancy rates and plummeting property values, PBB intends to minimise its exposure to the US market and change its focus away from office properties. The bank's cautious approach echoes larger concerns in commercial real estate, as financial institutions examine risks in the face of rising interest rates.Read more

03 Mar 2025

Thousands of UK-homebuyers face higher stamp-duty as tax-thresholds tighten from April-1. Rightmove estimates 74,000 transactions may miss the March-31 deadline, including 26,000 first-time buyers. Those purchasing homes between 500,000 pounds-625,000 pounds, especially in London, could pay upto 11,250 pounds extra. The previous Conservative-government raised thresholds in 2022, but Labour confirmed relief will end. From April, the general-exemption drops from 250,000 pounds to 125,000 pounds, and for first-time buyers, from 425,000 pounds to 300,000 pounds. Delays in property-chains worsen the issue, with South-East buyers hit hardest. Rightmove urges extension to prevent financial-strain.Read more