Press release
BELGIAN SINGLE-FAMILY HOME 40% MORE SPACIOUS THAN FOREIGN COUNTERPARTS
This year, CENTURY 21, the world’s No. 1 real estate agency, once again compared real estate markets around the globe.The comparison criteria?How big is the average 2 bedroom home with bathroom, living room, kitchen and small garden, courtyard and/or terrace and how much do you pay for it?
CENTURY 21 investigated how large a typical single-family home is in Belgium and abroad (o.a. New Zealand, Spain, Portugal, Los Angeles, Mexico, Ireland and the Czech Republic) and what you have to pay for it. And what is a typical family home in Belgium ? An analysis of the Belgian real estate market shows that a typical single-family home is made of two bedrooms, a bathroom, kitchen, living room, small garden, courtyard, balcony and/or terrace. A comparison of global real estate markets reveals some marked differences in average living area, location and cost.
Belgian homes up to 40% larger
The survey reveals that Belgian single-family homes are 40% larger than their foreign counterparts. On the whole, a Belgian single-family home has 119 m² of living area whereas foreign single-family homes averaged 87 m² of usable floorspace.
It was also clear that, in contrast to Belgian estates, foreign homes are more likely to have terraces and balconies than their own courtyard or garden. Whereas homes in the United States often have common outdoor areas.
Suburbs, in fashion as a location
Location remains a decisive price determining factor. The majority of Belgian and foreign homes are found in cities and suburbs. That this is where single-family homes are most often located comes as no surprise to Mathieu Verwilghen, General Manager CENTURY 21 Benelux. “For a number of years, we have been noticing a trend for people to move back to the city or surrounding suburbs, due to increasing mobility issues. In spite of the more limited living and outdoor surfaces in the city and suburbs, these are the areas where we find the largest offer of single-family homes.”
Belgian prices, size and quality
Location and living space play a major role in pricing. The average sale prices of the single family homes used for the study are more or less the same in Belgium all over the world. We notice that Belgian prices are on average 1% higher (an average of €179,606 in Belgium compared to €177,732 abroad). This is more than offset by the larger surface area of the average Belgian single-family home. The superior construction quality of Belgian homes when compared with some of the foreign markets is also noticeable. This is contributing to a relatively high standard of life in Belgium when it comes to housing.
Sales of single-family homes in Belgium remain healthy, and the prices in this segment are stabilising. “When analysing the market, we see that the classic single-family homes are in demand. Around 30% of all 2011 transactions to date have involved single-family homes”, explains Mathieu Verwilghen, General Manager CENTURY 21 Benelux. “A number of factors can explain this trend, for example : single-family homes, above all those from the 60s, are often seen as a better buy because they have large living rooms and are solidly built.”
About CENTURY 21:
CENTURY 21 is the largest real estate organisation in the world.It has approximately 7,700 offices and 121,000 employees in over 72 countries.CENTURY 21 Benelux was founded in 1995 and is now market leader in Belgium, with over 175 independent real estate agencies and over 800 employees.CENTURY 21 consistently offers over 6,500 properties in Belgium, the Netherlands and Luxembourg.In all its activities, the real estate organisation puts the emphasis on quality, professionalism, honesty, integrity and the speed of its services to the customer.
CENTURY 21 BENELUX FIRST BELGIAN REAL ESTATE ORGANISATION AWARDED THE ISO 9001:2008 - CERTIFICATE
Zoersel, 30th of March 2010 - At the end of March 2010, after an external, independent and international audit, CENTURY 21 Benelux was awarded the ISO 9001:2008 certificate. From this ‘quality assurance system’ it was apparent that the organisation meets the strict requirements that are set by the ISO standard for quality management. With this award, the largest real estate organisation in Belgium is also the first in the sector to have itself certified.
Mathieu Verwilghen, General Manager of CENTURY 21 Benelux explains: “Having our organisation certified was a logical consequence of our existing quality policy. With the ISO 9001 certificate we are confirming that at CENTURY 21 we put increasing customer satisfaction first by meeting the requirements and demands of customers as well as the legal requirements that apply to our activities. It is also particularly illuminating to have to demonstrate that you manage your business processes.”
The ISO standard guarantees that CENTURY 21 maintains a quality standard in all its processes
With the ISO 9001:2008 certificate, CENTURY 21 Benelux can demonstrate that all of the organisation’s employees work towards the development and efficiency of the quality management system. To that end, they are all also prepared to have the company screened every year by external, independent audit.
As far as the service provision is concerned, the leading real estate organization in Belgium imposes demanding requirements and specific standards and procedures for its franchise holders. With the ISO certificate, CENTURY 21 can demonstrate to its network that it makes just as serious a commitment in this area. At the same time, it is also a way to demonstrate to offices that are potentially joining that the organisation is working hard on a quality management system and that CENTURY 21 is therefore clearly a reliable business partner.
Mathieu Verwilghen: “CENTURY 21 Benelux is very happy to be the first Belgian real estate organisation to be awarded ISO 9001 certification. Our starting point was not commercial: it is after all an independent, international and neutral organisation that certified us. The good thing about certification is that we will be audited every year. It will therefore be a permanent challenge to continue to live up to the standard and to keep serving our customers in the best way.”
The ISO 9001 certificate has a clear impact on the day-to-day functioning of CENTURY 21 Benelux. By documenting the larger standardised procedures, the employees of the largest real estate organisation in Belgium have been able to make their work more efficient and simultaneously save a lot of time.
CENTURY 21 Benelux has, among other things, created an internal incident register that is discussed weekly. Thanks to this new procedure, it appears that approximately 30% of all internal dysfunctions can be traced to poor communication. Over the past 3 months the number of reports in the incident register has decreased dramatically. At the beginning, the organisation had about 10 recordings per week; now there is only one per week.
Press release
CENTURY 21 STUDY: What is the state of real estate prices in Europe? BUCHAREST CHEAPEST TO BUY, DUBLIN MOST EXPENSIVE, BRUSSELS SHIELDED FROM PRICE DECLINES
Zoersel, 2 June 2009. – Residents of Bucharest spend an average of 75,000 euros when purchasing an apartment or house. Even though purchase prices in the Romanian capital are low and rental prices are relatively high, 90% of the population rents a property. Only 10% purchases one. Dublin is the most expensive city. Rental prices fluctuate around 1,200 euros per month. You can buy property in the Irish capital starting from approximately 350,000 euros. According to a CENTURY 21 study, Brussels is in the middle. Renting costs 600 - 700 euros per month on average and one can buy for 200,000 – 250,000 euros. CENTURY 21, market leader in Belgium, conducted this research via its agents in 11 European capitals to examine the effects of the recession. The recession is clearly felt in most capitals in Europe because prices are falling almost everywhere.
The report produces a few surprising conclusions. The most expensive capital for renting or purchasing real estate is Dublin, followed by London and Moscow. Bucharest and Sofia are the cheapest. In Paris, Moscow and Brussels scarcely 30% rent properties; more than 70% are owners. In Dublin, Sofia and London the ratio between renting and owning is 50/50.
“Since the financial crisis started in the fourth quarter of 2008, many Europeans have invested their savings in real estate. Research shows that prices are falling in most places in Europe,” according to Mathieu Verwilghen, General Manager of CENTURY 21 Benelux. “In the Irish and Romanian capitals there has even been a sharp decrease in prices, to -45%,” says Verwilghen.
The CENTURY 21 study also shows that the number of renters is increasing sharply throughout Europe. In Dublin and Lisbon the number of renters has increase by no less than 200%. The average age of real estate buyers in European capitals is between 30 and 35 years old; this is also the case in Brussels. The youngest buyers (25-30 years old) are located in Dublin; the oldest (40-45 years old) are in Athens. It’s notable that primarily young people without children opt for a - possibly temporary - residence in the capital of their country. The necessary efforts are made in Brussels to attract buyers and renters.
Price decreases in the real estate market of European capitals are noticeable almost everywhere except in Brussels, which has been shielded up until now. There are considerable differences in the ratio between real estate buyers and renters. “At this time it’s still more interesting to buy a residence than to rent one. This is possible by creating more flexible interest rates, or by tailoring real estate prices to actual current purchasing power,” concludes Verwilghen.
New York, United States
No property at this price in Manhattan!
Single-family house in Queens
Living space: 94m²
3 bedrooms, Sitting room, bathroom, small garden, garage
Paris, France
Studio in the city centre
Living space: 29m²
2 rooms, kitchen fitted in the sitting room, 1 shower room with toilet, cellar
London, Great Britain
Apartment
Wimbledon (10km from the centre)
Living space: 65m²
1 bedroom, 1 bathroom, 1 kitchen and a small sitting room
Canberra, Australia
Studio
Located close to the city centre
Living space: 45m²
1 bedroom, 1 bathroom, 1 small sitting room
Puerto Rico, Caribbean
Single family house
Near the beach
Living space: 280m²
3 bedrooms, 2 bathrooms, sitting room, terrace, garage
Wellington, New Zealand
House
Located in the city centre
Living space: 80m²
2 bedrooms, bathroom, kitchen, garage, cellar area, attic
Sofia, Bulgaria
Apartment
Located in the city centre
Living space: 140m²
3 bedrooms, sitting room, bathroom and terrace
Prague, Czech Republic
House
Located in the city centre
Living space: 120m²
2 bedrooms, salon, kitchen, bathroom, sitting room, garage
Paphos, Cyprus
New apartment
Near the beach
Living space: 82m²
2 bedrooms, sitting room, bathroom, kitchen, terrace, veranda, swimming pool, garage
The criteria that determine real estate prices are identical everywhere
Although the results of CENTURY 21’s research indicated that it is impossible to compare the real estate properties of the whole world on the single criterion of selling price, on the other hand it turned out to be clear that the criteria that determine the prices are identical all over the world: the precise location of the property is a determining factor, just like the level of interest rates for mortgage loans and the purchasing power of the local population. This situation is applicable both in poor countries and in rich countries.
The average selling price in Belgium is below 250,000 EUR
In Belgium the average selling price is currently 174,354 EUR. This represents an increase of 2.5% in one year. In Belgium as well there is an enormous disparity in real estate prices. It is above all the place where the property is located that counts, on the one hand the region or geographical location, and on the other hand its immediate proximity to an environment that is pleasant, quiet and/or that facilitates everyday life (near public transport, schools or small shops) as opposed to an area that is noisy, less safe or along a major road. In certain regions of the country, it is even rare to find a property for sale for 250,000 EUR. This is the case for example in the weaker economic regions currently affected by unemployment.
And what can one buy for 250,000 EUR in Belgium?
For 250,000 EUR, today a buyer has a right to expect either a property in good or even very good condition, immediately liveable, or a property with living space that is more than acceptable (from 110m² in the centre of Brussels to 300m² in Liege), or a detached house with garden, depending on the region and the neighbourhood.
For this price in Brussels, it is possible to buy a nice apartment with two bedrooms in Woluwé-St-Pierre or Evere or a row house with 3 bedrooms and a garden near the Koekelberg Basilica.
In Antwerp or Kortrijk, a row house in this price category would have 4 bedrooms, while in Ghent or Mons one can even envisage becoming the owner of a small detached house for this price. Finally, in Liege, CENTURY 21 is offering a 300m² semi-detached house with no fewer than 7 bedrooms, 2 bathrooms, near the city centre.
Real estate market in Belgium currently in an exceptional situation
In view of the economic and financial situation, the Belgian real estate market is currently in an exceptional situation. Mathieu Verwilghen, General Manager CENTURY 21 Benelux, explains: “The economic and real estate context allows us to assert that it is the right time both for buying and for selling. This has never happened in the last 30 years. There are numerous reasons for this very special situation: the interest rates are still relatively low, purchasing power is being maintained for the social categories of the population in a position to gain ownership and the consumers in general have less confidence in financial investments. To this we must add the fact that the Belgians have a deep desire to be the owner of their own home. They therefore hope to profit from the current stabilisation of the real estate market.”
Another current trend
Exceptional properties (above 600,000 EUR in Wallonia and 700,000 EUR in Flanders) are selling much better today than in the last few years as long as they are different than traditional real estate due to the architecture of the building or their exceptional character (small château, mansion, ultra-modern housing). This is the case even when renovation works prove necessary.
Residential real estate is selling more and better than in 2009
Since the beginning of the year, CENTURY 21 has noted - in Belgium - a rise of 3% in the number of transactions in comparison with the same period (February-July) in 2009. The average selling price (160,603 EUR in Brussels and 181,133 EUR in Flanders and Wallonia) is also increasing slightly, with the exception of Brussels, where the prices are remaining stable. It is true that the Brussels market is not following the same trend at all as the rest of the country. The prices have increased slightly more in the capital than in the rest of the country.