Benjamin Gordon Cambridge Capital Highlights the Condition of Real Estate in the Pandemic

It is a well-known fact that the pandemic has impacted all sectors of the economy including real estate. However, simultaneously, this scenario has also given rise to few trends. In this short write-up, let us find out more about the changes that have taken place paving way for the better things during the pandemic. 

Benjamin Gordon Cambridge Capital explains how changes will impact the real estate market

The changes that have been mentioned here will impact the way real estate will function in the days ahead under the influence of the pandemic. 

Even though few retail outlets and offices have reopened, yet the scenario suggests that the “world is reoriented”. And more and more people are trying to adapt to the changes related to society, governance, environment, and of course economic setup. 

Experts believe that since the recovery will be slow, it will take some time for the real estate market to bounce back to the pre-covid times. Few companies are opting for a mix between the two office models, remote and physical. 

In the pre-COVID-19 days, there was a requirement for gym space, conference and meeting rooms, and lounge areas. However, during the pandemic, there arose the need for clean air quality, touchless technology, and adequate spacing between various office cubicles. 

In the real estate market, the profit margins have plunged to the lowest but not everyone is at a loss because many people are taking advantage of lower rates of interest. 

However, the general tendency that has been observed among people is that since the purchasing power of people has declined, not many are taking chances as they must make their mortgage payments every month, which might not be possible to shell out. 

This is because the majority of the companies to curb their expenses laid-off workers or opted for a pay cut. The requirement of space has been greatly impacted by the norms of social distancing, lockdowns, job cuts, and layoffs. 

The trend that started with working from home has also minimized the requirement for commercial real estate property. While few companies have realized that working from home is a much better option as they can do away with the overhead expenses, few prefer to return to physical offices. For such companies, the need for office space will always remain. 

Benjamin Gordon Cambridge Capital believes that the online shopping portals will continue to require space for warehouses since the online shopping portals are continuing their business by maintaining the protocol of COVID-19. 

Below are some of the key aspects to consider for analyzing the condition of the Real Estate Market in these tough times.

Key aspects to consider

Automation and digitization of processes related to real estate and several other sectors continue to gain prominence. Many commercial spaces are now equipped with automated sanitiser dispensing machines and tools that can scan thermally, visitors entering those premises. 

It cannot be said that the real estate market, whether commercial or residential has come to a halt altogether. While business continue even during these tough times, the need for flexibility and carefully planned strategies is what is required now.