Property companies brace for difficult months ahead
Real estate investment companies (REICs) have been reading up on the strategies developed during the period of the deep recession in the early 2010s ahead of the difficult months ahead for the property market.
The three main policies REIC managers will be following this year are investment risk management, lower bids for property purchases, and the targeting of higher returns.
Already REICs are revising their portfolio growth targets for 2020, as they cannot possibly expect the same volume of transactions as before, while there are major worries regarding the valuations in the market, partly due to the 40 percent rental discount.
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