The past year has been difficult for a lot of industries, including the property industry. With property market fluctuations seen throughout 2020, and intermittent drops and rises in house prices, many property investors were left wondering whether 2020 was a good time to buy an investment property.
Luckily, property investment companies around the world found ways to tackle the restrictions and uncertainty brought by the Covid-19 pandemic, and encouraged ongoing investment throughout the year. Here are some of the ways that investment markets are adapting to the coronavirus pandemic.
VR technology has helped fuel property market activity for both the investment market and residential markets throughout 2020.
In light of the Covid-19 pandemic and subsequent lockdowns around the world, many countries, including the UK, temporarily suspended in-person property viewings. This is where virtual reality helped, allowing buyers to take ‘virtual viewings’ of properties.
One property company that took advantage of this technology is RWinvest in the UK. This company offered virtual viewings for their off-plan investment properties, where investors would be sent a file to use with a VR headset or given the option to view the property virtually over their smartphone or PC.
This method proved to be a big success, with the company seeing high levels of investment demand from the beginning of the pandemic onwards.
Along with the introduction of virtual viewings, another way that investment markets around the world changed their practices in 2020 was with an increase in virtual meetings.
To adhere to social distancing and isolation guidelines, many property companies carried out all meetings via video chat software such as Zoom or Skype. Those interested in making a property purchase would be able to chat with a sales representative from the comfort and safety of their home.
One added benefit of this was that for overseas investors who were interested in buying property abroad, the investment process became a lot easier as it removed any need for costly travel.
By taking meetings over video chat software, sales consultants were also able to share their screen with clients to provide them with useful information that could help them make an informed decision on their purchase.
With worldwide job losses and financial strain for many, 2020 has been a difficult time for a lot of people. Investment companies and property developers recognised that the economic uncertainty brought by 2020 would likely turn many people away from the thought of investing.
That’s why, as a way to increase investment activity and keep the property market thriving, a lot of developers offered some enticing deals and discounts. Throughout the year, some great opportunities have been available for property investors, including assured rental yields for set periods of time, discounted property prices, and the ability to split property payments up with a structured payment plan.
Since many investors recognised that the property market was likely to recover once a sense of normality returned, those who invested during this time have been able to boost their portfolios with some lucrative opportunities.
In the UK, property prices are now predicted to grow by 20.4% by 2024, ensuring significant capital growth.