Latest news with #propertysector
Bloomberg
3 days ago
- Business
- Bloomberg
China's Steel Output Cuts Could Intensify Coking Coal's Plunge
China's declining steel demand is sweeping through related markets, with prices of the coking coal and coke used in blast furnaces plunging to their lowest since 2016. Steel mills are expected to curtail production this year to cope with the drop in consumption. The protracted collapse in the property sector remains the biggest drag, while exports that have helped soak up the domestic surplus are likely to recede in the face of mounting trade barriers.
The National
24-05-2025
- Business
- The National
UAE Property: ‘My neighbour's smoking habit is affecting my health'
Mario Volpi is head of brokerage at Novvi Properties and has worked in the property sector for 40 years in London and Dubai May 24, 2025
Reuters
23-05-2025
- Business
- Reuters
Germany builds 14% fewer apartments in 2024, falling short of government goals
FRANKFURT, May 23 (Reuters) - The number of apartments built in Germany dropped sharply in 2024, federal statistics office data showed on Friday, a further sign of stress in the nation's troubled real estate industry. The number of apartments completed was 251,900, down 14.4% from 2023 and far below government aims of building 400,000 apartments a year. Germany's property sector hit hard times in 2022, as higher interest rates made borrowing costly. That resulted in falling prices, and it tipped some property firms into insolvency.
Reuters
23-05-2025
- Business
- Reuters
Analysts downgrade China's property price outlook in 2025 as trade tensions pose fresh risk: Reuters poll
BEIJING, May 23 (Reuters) - Weakness in China's property sector is expected to persist this year with home prices falling nearly 5% and set to remain stagnant in 2026, as low confidence continues to keep buyers at bay while the Sino-U.S. trade war adds further pressure, a Reuters poll showed. China's property sector, which plunged into crisis in 2021, has failed to turn a decisive corner despite several rounds of policy support steps, due in part to excessive debt among developers and a stuttering economy. Home prices are projected to decline 4.8% this year, deeper than a 2.5% drop forecast in February, with the previous estimate of a modest growth in 2026 revised to a flat trajectory, the survey of 12 analysts, conducted between 14-22 May, showed. Home prices fell 4.8% year-on-year in 2024, according to calculations by E-House, a leading real estate sales and marketing agency in China, based on data from China's statistics bureau. A confluence of factors continues to undermine confidence in the sector, including a glut of unsold homes, a sluggish job market, and weakening affordability among potential buyers, said Lulu Shi, director of Asia-Pacific corporate ratings at Fitch Ratings. "Escalating U.S.-China geopolitical tensions may lead to slower economic growth, further dampening homebuyer sentiment," said Shi. In recent weeks, Beijing has rolled out fresh stimulus measures, including reductions in mortgage rates, to shore up the real estate industry, which before the 2021 crisis contributed almost 25% to economic output. China also rolled out several supportive measures last year, including urging local governments to purchase unsold homes from heavily-indebted developers. However, these measures have had limited impact in lower-tier cities, where demand remains weak and buyer preference has shifted to higher-tier markets, said Yingxue Ren, associate director of corporate ratings at S&P Global (China) Ratings. Property sales in 2025 are expected to shrink 5.0%, compared with a 5.7% drop forecast previously. Investment is projected to drop 8.4%, faster than the previously estimated 7.0% decline. "The tariff war has reinforced Chinese policymakers' assessment of long-term Sino-U.S. decoupling, triggering a systematic policy shift toward advanced manufacturing and technological self-sufficiency," said Dan Wang, a director on Eurasia Group's China team. "The property sector is no longer seen as a key economic stabiliser," Wang added. (Other stories from the Q2 global Reuters housing poll: nL6N3RU0GL)
Reuters
22-05-2025
- Business
- Reuters
Loan volume for offices plummets, German bank data show
FRANKFURT, May 22 (Reuters) - The volume of loans to finance office buildings fell sharply in the first three months of the year, Germany's VDP banking association said on Thursday, a grim sign as the nation's real estate sector grapples with its worst crisis in decades. Germany's property sector hit hard times in 2022, with offices coming under particular stress as higher interest rates made borrowing costly and more people worked from home. That resulted in falling prices, and it tipped some property firms into insolvency. The VDP data showed loans for offices dropped 26% in the first quarter to 4.3 billion euros ($4.87 billion), down from 5.8 billion euros a year earlier. The level is also lower than the 4.7 billion euros in loans recorded in the first quarter of 2023. The drop in loan volume contrasts with increases in loans for residential property, as well as other forms of commercial property, including hotel and retail property. The decline comes despite a recent rise in commercial property prices. ($1 = 0.8834 euros)
