Global housing markets to see a subdued 2021

01.10.2020 - Davydova Maria
Global housing markets to see a subdued 2021

Most major housing markets are expected to lag behind consumer price inflation in 2021. While they managed to reach strong levels this year, they are still predicted to suffer from various downside risks amid the coronavirus crisis and ultra-low interest rates, a Reuters survey showed.

Average home prices are expected to grow in several countries this year backed by a surge in demand and scarcity of supplies, the Sept 15-29 survey of 123 analysts showed. However, the jump would ease next year.

An unprecedented amount of fiscal and monetary stimulus has fuelled housing market activity. Moreover, many governments had eased virus-related restrictions and resumed economic operations.

The coronavirus casualties have breached 1 million already, and more than 33 million have been infected by the virus. This had resulted in a series of disruptions in supply chain and economic activity, driving the global economy into its sharpest recession.

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