Europe's real estate market is forecasted to experience a robust recovery by 2025, driven by stabilising economies, reduced borrowing costs, and renewed domestic and foreign investment opportunities.

Europe's real estate market is projected to rebound significantly by 2025 after a period of sluggish growth. This recovery aligns with stabilising economic conditions, improved investor confidence, and a gradual return to pre-pandemic demand levels. Factors such as easing inflation pressures, reduced borrowing costs, and renewed commercial and residential activity are seen as key contributors to the anticipated upward trajectory. As market dynamics begin to shift, cities across Europe, particularly hubs with diverse economic drivers, are poised to see stronger property value appreciation. Infrastructure upgrades, urban regeneration initiatives, and enhanced sustainability efforts are likely to attract increased investment. The real estate landscape will also benefit from the resurgence in foreign direct investment, boosted by policy trends favouring investor-friendly strategies and increased government focus on regional market stabilisation. Despite challenges linked to geopolitical tensions and potential interest rate fluctuations, the long-term horizon appears favourable for most European markets. This sets the stage for a vibrant period of economic and property sector growth, enabling both commercial and residential sectors to recover their momentum.