This year's EXPO REAL in Munich, which concluded with around 42,000 trade visitors, highlighted a significant development in the real estate market. While conditions remain challenging, clear premises for transactions are increasingly emerging. This development points to a 'new normal' in which the dynamics of business relationships and closing criteria are being redefined.
The trade fair confirmed that the exchange between stakeholders is becoming more targeted. Less speculative narratives, and instead increased clarity regarding prices, financing structures, cash flows, and the operational implementation of projects, characterise the discussions. This marks a return to fact-based negotiations that reach the point of sale more quickly.
Three Essential Market Trends
Mark Aengevelt, Managing Partner at Aengevelt Immobilien, identified three central trends that characterise the current market and are important for initiating deals. These tendencies reflect an adaptation to the altered economic framework conditions and underline the necessity of a precise strategy.
- —Profile beats breadth: Specific expertise and a proven track record are gaining importance. Stakeholders with specialised knowledge and successful references clearly have an advantage.
- —Secured capital creates capacity to act: Equity and reliable financing commitments are indispensable. They represent a crucial prerequisite for successful transactions.
- —Deals need a reason: Refinancing needs, liquidity requirements, or strategic realignments encourage owners' willingness to sell properties, thereby enabling the matching of sellers and buyers.
Despite the challenges that are likely to characterise the years 2026/27 as well, the matured realism in the market creates an improved basis for business closures. The ability to act effectively in the 'new normal' is highlighted as a decisive factor for success.
The Relevance of Personal Contact in the Digital Age
One aspect remains fundamentally important in the real estate business: the real estate sector is a people's business. Personal interaction and a stable relationship of trust continue to form the basis of successful collaboration. This is particularly true in a market environment where decisions are increasingly based on solid facts.
Although technological advances such as artificial intelligence can make processes more efficient and prepare decisions, they do not replace the fundamental trust and personal communication between the parties involved. Human interaction thus remains a key element for the conclusion and implementation of real estate transactions.
