House prices fall across Europe

RE/MAX Europe, the real estate network represented by over 30,000 agents and 2,400 offices in 40 countries, has recently released its Q3 European Housing Insights Report. The report – which leverages RE/MAX Europe data and regional insights – shows that the buyer’s market in Europe is continuing to intensify and that property energy efficiency is becoming a top factor in property valuation, alongside location.

Key insights consider pan-European trends as well as more in-depth analysis of Croatia, Czech Republic, Spain, and Turkey. These include: price trends in major European cities, an analysis of the rental market, and information on the construction market, energy efficiency and advisory services.

Q3 2023 has seen sellers and buyers continue to adapt to inflation and higher interest rates. The number of transactions is declining as sellers adjust to slower sales and buyers face lengthier financing processes.

European property markets displayed diverse trends, with each uniquely adapting to the changing financial landscape:

• Subtle Price Adjustments: Portugal, Germany, Italy showed minor listing price fluctuations of +0.1 per cent, -0.2 per cent, and -0.2 per cent respectively compared to Q2 2023.
• Notable Price Trends: Spain, the Czech Republic, and France experienced listing price declines of -1.9 per cent, -2 per cent and a -3.8 per cent from Q2 2023.

Michael Polzler, CEO at RE/MAX Europe, said: “We’re seeing the market continue to shift from historically low interest rates to a buyer-focused era, with downward pressure on demand and prices. The importance of energy efficiency has come to stay, and is a determining factor in a property’s attractiveness and value alongside location. It is critical for new builds and is rigorously evaluated in existing properties.” Photo:  Michael Polzler