PROPERTY

Trends to Monitor - Prime Global Forecast Report

We highlight some of the trends set to influence prime property markets in 2021 and beyond
Written By:
Kate Everett-Allen, Knight Frank
2 minutes to read
Categories: Property
  1. ESG TAKES OFF Green and ethical investing is set to filter all aspects of global property markets as the pandemic and a Biden Presidency push purpose-led investment up the global agenda.
  2. THE BLENDED CITY With a five-day commute a distant memory, and digital working the new norm, there will be an online and offline approach to work and our lifestyles, leading to more residential stock in city centres and more retail and amenities in suburbs.
  3. ACCESSIBLE BOLTHOLES With many unable to reach their second homes in lockdown, and others decamping for much longer periods than usual, the location and specification of second homes is set to change, as many look for a bolthole within driving distance and the line between primary and secondary residences becomes blurred.
  4. DIGITAL NOMADS First Barbados, then Bahamas and Dubai, policymakers are acknowledging the global workforce has gone mobile and are introducing short-term visas in an effort to boost their pandemic-hit economies. Expect more of this.
  5. ALTERNATIVE SECTORS From data centres to retirement homes, and from healthcare to the private rented sector, investors are widening their net given the opportunities in the medium to long term.
  6. RESORT MARKETS Overshadowed by escalating prices in prime cities since the last financial crisis, for a bolthole resorts, be they ski or sun locations, from Aspen to Cannes, are seeing demand strengthen.
  7. DEBT HARDER TO COME BY With more countries expected to join the negative rates club in 2021, finance looks set to remain cheap, but lenders are taking a more cautionary stance, raising loan-to-value ratios and making finance costlier for highly-leveraged clients.
  8. A CHANGING TAX LANDSCAPE Will governments look to raise property taxes in a post-pandemic world to replenish lost revenue or will foreign buyer taxes and bans be rolled back to help attract overseas investment? The next few months should give us some indication as to the route governments plan to take.

Read the full report here

For more information please contact Kate Everett-Allen