We have checked the balance at the end of last year and started the new year with the following real estate trends for 2020:
- Rental housing promises to be great success for investors
- Technology will be installed in homes to provide new energy saving solutions
- A growing collaborative living environment will reduce real estate shortage problems
Today’s blog article by ShMadrid will elaborate on these three trends.
Related article: 5 Real Estate Challenges for Madrid in 2020
Discover 2020’s surprising real estate trends
Rental housing will increase
Up until now mostly young people and nomadic workers opted to rent a home, but today, more and more families prefer this option as well, instead of buying a house. The increase in demand has not gone unnoticed by investors, and they are now taking advantage of this new development.
Investors are buying real estate objects because they know it has potential. So it seems like the rental market has started to grow again, and this means a lot for cities like Barcelona in 2020. Because of the fact that supply has been insufficient, the idea now is to use a new model, which is build to rent.
The build to rent model is already being practiced in other European countries. This new approach will make things easier and allow for prices to be less aggressive than before.
Smart homes, a new and safe bet
Technological developments are going to have a huge impact on real estate. The first aim is to automate daily tasks through digitalization, which means we will see a lot of robotics and IoT (the Internet of things) in 2020 and the following years.
An app on your mobile phone will, for example, be the tool to access your home or even your garage. There is no need for a set of keys or a garage door remote anymore. Domotics will also have an impact on your home. Home automation systems can control your air conditioning, lights, security and blinds.
Related article: Do You Know Madrid’s Housing Cooperatives in 2020?
The real estate industry has to comply with this type of solution, because measures are based on European rules and regulations, called the Energy Performance of Buildings Directive. It is established that when it comes to energy consumption all buildings must be nearly zero-energy buildings by the end of 2020.
Regulations also say that the energy consumed in homes must come from renewable energy sources that are located in the surroundings of the property or in the building itself. This building trend will have a big effect on new constructions for the coming years. It will lead to houses being built that can use their own resources in order to reduce energy consumption.
The UN’s 2030 Agenda for Sustainable Development has set 17 goals and they have already begun to have an impact on the sector. Construction companies are adapting houses to have less environmental impact. The main objective is to have buildings certify as zero-emission buildings (ZEB) that offer security and transparency.
As of today we will see more and more of this collaboration trend. The coworking concept was already a trend all over the world, but it is now catching on in Spain. Creating a shared working environment that can be used by different companies or individuals is not only space efficient, but can also save money.
A new trend that has come from the basic principles of coworking is coliving. This housing concept will focus on eliminating the shortage on the housing market. The key aspects to this new trend is residents having their own space, but sharing communal areas for socializing and work purposes.
Are there other interesting real estate trends for 2020?