After their precipitous falls since February, stock markets across the world saw spurts of modest rebounds in the past two weeks. We believe the (1) announcements of massive monetary and fiscal supportive measures worldwide, as well as (2) bargain hunters returning to the market played significant roles behind the modest rally.
Data in real estate are usually lagging indicators but some parallels from the stock market are showing up in the real estate market. From the news we have been reading this week, we are seeing the impact from various stimulus measures start to transmit into real estate. Although risks generally remain skewed towards the downside, there is no shortage of signs suggesting that longer term and cash rich investors are readying themselves to enter the market.
Each week we bring you the best of what we’re reading in real estate news, market trends and technology. Happy weekend!
What caught our eyes this week
Some Initial Takeaways on How the $2T Stimulus Helps CRE
NREI – Industry pros are continuing to unpack what’s in the massive $2 trillion stimulus package, but already some items stand out that should provide relief to the CRE sector.
U.S. Jobless Claims Soar to Once-Unthinkable Record 6.65 Million
Bloomberg- As states shut down commerce to prevent the deadly coronavirus from spreading, the weekly claims data have been among the first detailed figures to show the devastating economic hit, highlighting the extent to which U.S. businesses and workers are reeling from the global health crisis.
UK house sales will collapse in 2020 as market goes into deep freeze, says study
Guardian- House sales in the UK will collapse this year as the coronavirus pandemic puts the property market into deep freeze. But prices will fall by only 3% and will rebound next year, according to global consultancy Knight Frank.
Mandatory code to guide commercial rent relief
Businessnews- Landlords will be forced to reduce commercial rents by the same proportion that the tenant’s revenue has fallen due to the COVID-19 outbreak, under new mandatory code of conduct announced by the federal government today.
Asian tycoons hunt for cheap assets after market rout
BT- Asian tycoons are looking to snap up assets pummelled by the deadly coronavirus at bargain prices, but they are also facing hurdles as more governments seek to deter foreign takeovers of local firms.
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