The average time it takes to do a deal reached a record high in 2023, according to new figures from data room provider Drooms.
The group’s Real Estate Transaction Barometer found that across Europe the average time it took to conclude a deal had risen from 335 days in 2022 to 342 days in 2023.
In the UK, the number was 391 days, with the Netherlands closest behind at 375 days. Deal times in France and Italy were the shortest at 302 and 242 days respectively.
The Transaction Barometer consists of an anonymised analysis of all European transactions processed via Drooms throughout 2023 and two supplementary surveys of almost 150 real estate professionals.
Despite the rising length of time taken to do deals, Drooms found that more than half of the investors it surveyed planned to increase their international property investments in 2024, with just 15% expecting to reduce transactional volumes.
Logistics was the top target for investors, with 34% of respondents saying this was the most attractive asset class, followed by residential (20%) and healthcare (10%). Around 9% of respondents put hotels and offices at the top of their buy lists.
Around one-third said different national regulatory requirements was the biggest obstacle to cross-border property investments, followed by a lack of local market knowledge and the current interest rate level.
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