2020: Investments Down by 40% in Hungary

The total value of European investment in 2020 reached EUR 275 billion, which, although lower than the level of 331 billion a year earlier, is a good result amid the epidemic crisis. In Hungary, the decline in 2020 was 40%.

Although this represents a 17% decrease from EUR 331 billion in 2019, sales in 2020 still exceeded preliminary expectations calculated by the effects of the Covid-19 pandemic. Looking at the Hungarian market, the total value of the investment was EUR 1 billion, according to the latest data from the leading commercial real estate consultant, CBRE.

The highest investment volume of EUR 79.3 billion was recorded by Germany on the European market. For them, this is only a 5% drop from the 2019 record. Northern European countries also performed strongly, with sales of EUR 43.4 billion up 1% on the previous year. After Germany, the second largest national real estate investment market with EUR 45.8 billion - and a 25% decline - was the UK, while France finished third with EUR 29 billion and a 39% decline.

The Hungarian market closed 2020 with EUR 1 billion
Investment activity in Hungary has been at a historically high level for four years, continuously exceeding EUR 1.5 billion per year. However, the economic uncertainty accompanying the COVID-19 epidemic also had a negative impact on the domestic market. The total investment value in 2020 was EUR 1 billion, a 40% year-on-year decline. This was due to a decrease in both the number and average size of transactions. However, the annual volume remained above the cyclical average and last year capital resources were also in balance.