June 2023 Real Estate Newsletter

Hello all,

Welcome to the first edition of Fizbot's monthly real estate newsletter series. In these series, we are going to share the most important developments around the globe and their impacts to the real estate sector. Let's dive in!

• After Germany and other EU countries' growth expectation announcements, Eurozone officially entered recession. According to Eurostat, the EU's statistics office, the region's economy grew by a mere 0.1% in the 2023 Q1. Recession also means stricter limits on the European Central Bank for further increasing interest rates.

• The European Central Bank's Financial Stability Review released in May preceded recent developments about the recession. In its report, the ECB pointed out that mortgage loans and house prices have slowed significantly as a result of recent hikes in interest rates.

• Similarly in the UK, The Chancellor of the Exchequer Jeremy Hunt said that the Bank of England's only option is to increase the cost of borrowing to curb inflation. It had already come from 0.1% in December 2021 to 4.5%, and could exceed 5.5% before Christmas. Increasing costs also affect mortgage rates, as two-year mortgage rate surpasses 6% and expected to continue its rise.

• On the other side of the Atlantic, mortgage demands were in decline. Applications fell by 27% compared to the same month of the last year. However, since the last week, it rose by 7.2%. Although mortgage rates haven't changed in this period, and the Federal Reserve's decision on 14 June to keep rates stable could contribute to this situation. The US government thought differently as Congress approved a deal to lift the debt ceiling, with an aim to prevent the possibility of government defaulting on its debt.

In light of recent changes in the world economy, it's important to see these changes as chances, not problems. When growth is slower, it often leads to new ideas, especially in the real estate and proptech industries. This situation makes it possible for companies like Fizbot to push our industry forward by coming up with unique solutions that work well in different markets. We are committed to creating value for our clients by providing solutions that solve problems and take advantage of opportunities.

Fizbot enables real estate offices and agents to navigate their way through the fluctuating market. Advanced data insights, accurate valuations, and detailed market analyses become indispensable tools for all real estate professionals.

As we continue to innovate and adapt to the evolving landscape, we are thrilled to introduce our latest offering - the Fizbot Sales Navigator?, the one and only sales management platform specifically designed for?real estate agencies. It's not just about managing sales, it's about supercharging them. The Fizbot Sales Navigator? boosts real estate agents' speed and follow-up capabilities, giving them the edge in a competitive market. Meanwhile, it empowers real estate offices with the ability to effortlessly track, manage, and measure the performance of their organization. With Fizbot Sales Navigator?, real estate professional are not just surviving the fluctuating market, they are mastering it.