Our team participated with our global partner, LeadingRE to review key insights on investments in the real estate market and how the consumers are behaving in 2023. But how is this projected in the Costa Rican real estate market?
Buyers who are open to change tend to be more optimistic for their future, more ready to make decisions and focused more on the things they can control (such as their perception of things) and less concerned with matters beyond their control (such as the global economy).
Investment is the top priority in 2023
The reality is that for many buyers each of these categories are significantly important, but when tasked to rank order in a competitive context (this or that) the hierarchy becomes clear:
- Quality of investment: return on investment & stability.
- Beauty: Great scenery and natural settings.
- Family Oriented: parks, schools, materials & in-home technology.
- Good for the world: Sustainability & community oriented
- Good for me: Neighbourhoods, spaces, amenities & overall a dedication to well-being
Certainly, each real estate market and buyer will be different, and each one will have their own sense of propriety order, however, as a global class this is what matter the most.
Consumers recognize that a recession is possible, or even likely, in 2023. However, their individual situations are strong and their attitudes positive despite headwinds.
The real estate market is closely tied to the health of the economy. When the economy is strong, people are more likely to buy homes, invest in real estate, and start new construction projects. Conversely, during a recession, people may lose their jobs and become less able to afford housing, which can lead to a decrease in demand for real estate and lower property prices. This can further depress the real estate market and make it harder for people to buy or sell property.
Despite these challenges, there are also opportunities for real estate investors during a recession. For example, a recession may lead to a lower cost of borrowing, making it easier for investors to finance real estate deals. Additionally, with lower demand and lower prices, there may be bargains to be had for those willing to take the risk.
In conclusion, while a recession can have a significant impact on the real estate market, it is important to remember that the market will eventually recover.
Key findings to invest in the real estate market 2023
Buyers show their adaptability to current technology and market trends. The shift in mindset from visiting in person versus to a trusted digital interaction opens new referral sources.
Investors are adapting to the present circumstances and adaptive people behave with confidence and drive. When you enhance your reach with digital marketing techniques to go beyond your local audience, the affluent existing target could be found with more efficiency.
The benefits of improving inter-city networking is that even in recession times, you can attract those that are willing to take a risk.
90% of wealthy consumers consider digital platforms trustworthy when making decisions. The Digital Path to Purchase is based on:
- Discovery: Search ads, Word of mouth/Social, podscasts
- Inspiration: Website, e-mail, online reviews
- Interest: Social/word of mouth, point of sale ads, email
Investing in a real estate market like Costa Rica can be the perfect balance between risk and return. If you want to know the best investment options in the local market, do not hesitate to contact our specialized advisors.
