EUROPEAN GROWTH WHAT HAPPENED?
The European construction sector is expected to see modest recovery in 2025, with growth forecasted at 0.5% following a 2% decline in 2024, according to an ING report.
While the growth is described as “marginal,” the report highlights positive indicators, such as rising house prices and stabilising construction volumes, as signs of improvement.
House prices within the EU started to increase again in 2024 after a year of decline, reaching record levels by the third quarter. The report notes this trend is encouraging for new developments, as the gap between the cost of newly built and existing homes is narrowing.
IMAGE: ADOBE STOCK
However, challenges persist in Germany and Spain, where high costs have made newly built homes less competitive. In contrast, in the Netherlands new house prices are becoming increasingly attractive to buyers.