Real estate & construction report 2014
Developers, property companies, investors and homeowners suffered disproportionately during the financial crisis. But now, finally, expectations for profitability, jobs and orders are all on the rise.
House prices are climbing in key markets such as the UK and the US, contributing to the so-called 'wealth effect' which boosts the consumption patterns of homeowners. But the market is in no way uniform. 'Microclimates of opportunity' reveals investment is being channelled into cities and regions, rather than countries with even certain areas in economies that suffered badly in the recession, such as Spain and Ireland, becoming attractive again.
- globally, the sector is more upbeat compared with 12 months ago
- real estate & construction businesses in southeast Asia, Latin America and North America are most buoyant about growth in 2014
- situation in Europe remains tricky, but businesses in east and north increasingly optimistic about orders and profitability
- globally, close to a third of businesses plan to hire workers in 2014, led by Asia Pacific and Latin America
- economic uncertainty, regulations and red tape and a lack of demand are the three greatest growth constraints
- Europe, Latin America and Asia Pacific lagging behind North America in terms of combating fraud and corruption in the sector