During the last 18 months, the real estate market in Mexico faced a crisis in which it had to reinvent itself, but is currently facing challenges for a revitalization that has the potential to encourage economic activity and explore new models.

At the event "Real Estate Investment Outlook in Mexico", Alfonso Salem, CEO of Inmuebles Carso. Added that there is investment in the country not only in the short term, but also in the medium and long term. "The generational pyramid is very important and the potential that the country has due to its geographical location as well."

Within the framework of the Real Estate Show that was held in CDMX, and organized by ADI, Salem pointed out that several factors are currently combining in the housing sector.

One of them is that “we maintain the prices of 2019; another is that there is a very important increase in inputs. Technically, steel has increased 70% since 2018, copper 69%. The replacement value is going to be interesting, you have to see when it will balance with the market ”.

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Under those conditions, he said that there is currently an opportunity for home buyers, especially because of the low interest rates that are being presented.

In 2010 the mortgage rate was 12% for home mortgage loans; in 2016, 9.4%; and in 2021, it brings an average of 8.9% to 20 years, financing between 80 and 90%, generating very interesting factors found in the sector ”, he said.

As for the offices, he pointed out, the moment we are living is a watershed thanks to technology. that allowed us to have meetings and effective communication that facilitated continuing with the functions, which in the absence of such would have generated a catastrophic situation.

At present there is more tranquility due to vaccination and the desire of people to return to their workplaces continues but with flexibility of some days in the home office. He added about the corporate sector, that there is a need for socialization that exists in various parts of the world and that will be reflected in the occupation of inventories.

“People urgently need to socialize; It is urgent for you to be in another place, to change your environment, to have peace of mind, and that is an important point for our sector. I think there will be a reconversion and rearrangement, but I think it will be very positive. "

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Alfonso Salem expressed that the change in technology is already a generational issue and that you must have a clear mind, a quick reaction for rearrangement and reconversion ”.

Regarding the housing sector, he considered that amenities will be increasingly relevant in the future.

Returning to the issue of housing, on the economic aspect he said that the first thing will be to displace the existing product.

“First, we have to move the inventory that we have. I think it is important to see what we have. The house is in a very interesting lag, what I am selling right now will be very difficult to replace after a while, and whoever buys it right now can earn very good rates and it is a very good product ”.

“In housing, you have to see what challenges are coming. I do not know if it is going to become more income, for sale, you have to measure the market. But we do have to get ahead of ourselves. A project takes many years to develop, and then to materialize, already having it, 2 years, at least if it goes well for you ”.

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