What happened in that terrible year that many dare not mention? Are we in for a crash in the apartment market like in 2008?

The real estate market is experiencing volatility from 2020. The initial crisis was caused by a coronavirus and then continued and deepened due to the war in Ukraine. Sales and rental prices have been rising steadily, and in many countries there has already been talk of a possible total collapse.

What's in store for the real estate market like in 2008?

Many experts predict a collapse of the real estate market, similar to what happened in America in 2008. Bank of America believes that the road to stability in the real estate market will still be difficult. Strict monetary policy is cited as the cause of the current crisis. They also warn of possible turbulence in the future.

In contrast to 2008, there is no evidence of overbuilding or over-indebtedness among the population. Currently, the real estate market is mainly facing the effects of a strict monetary policy similar to that of the 1980s. - Based on previous recessions, we believe the 1980s is a better comparison to the current market than the 2008 real estate crisis," wrote U.S. economists Jeseo Park and Michael Gapen. However, they added that given the likelihood of a prolonged persistence of high interest rates, they are cautious about possible subsequent turbulence.

The crisis that occurred in 2007-2008

The crisis that occurred in 2007-2008 was one of the worst economic crises the world has ever experienced. The crisis then started in the mortgage market and then turned into a banking crisis, leading to the collapse of many banks. There has also been a huge drop in real estate values.

Chinese real estate

Chinese real estate is currently in a historic slump. Unemployment is rising and people are less and less inclined to buy. China's largest construction company Country Garden is on the verge of collapse. Chinese state media company Paper.cn, citing an anonymous Country Garden source, said the company is experiencing "temporary liquidity problems" due to lower sales and harder refinancing. Instability in China has been going on for several years.

The real estate prices in Serbia

The trend of price stabilization continues on the real estate market in Serbia. This is evidenced by official data, according to which prices for square meters in September in most areas remained unchanged, and in some even slightly decreased. Belgrade and Novi Sad saw a decrease of almost 3 percent, while in Niš the prices of square meters remained at the same level. Despite the decline in the real estate market, prices for square meters are still significantly higher compared to previous years. The capital city continues to lead in this respect compared to other Serbian cities, and even after the price decrease, there are no square meters below 3,000 euros in the central areas. According to the latest report, the prices of square meters in Belgrade decreased by almost 3 percent, in Novi Sad prices decreased in all districts, while the prices of square meters in Niš remained unchanged compared to the previous month, while in Kragujevac there was an increase.

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