The international consultancy JLL, in collaboration with LaSalle Investment Management, has published the latest Global Real Estate Transparency Index (GRETI). The study covers 88 countries and territories and 146 cities, notes Prian. Experts assessed the markets against 260 indicators, including the availability of transaction data, the quality of regulation, the protection of property rights, technological development and the disclosure of environmental information.
The index shows the extent to which investors can rely on reliable market data, clear transaction rules and predictable regulation. The higher the transparency, the easier it is to assess property values and the associated risks.
Top 13 most transparent markets
The top three are the UK, France and Australia. They are followed by the US, the Netherlands, Canada, New Zealand, Ireland, Sweden, Germany, Belgium, Japan and Singapore.
According to JLL, these 13 markets account for 56 per cent of the world’s income-generating commercial property and over 80 per cent of direct investment in property.
Over the past two years, the volume of transactions in this group has increased by 64 per cent — 20 percentage points faster than in other markets. Investors are attracted by developed capital markets, the availability of information and clearer operating rules.
Two-thirds of the markets included in the study have improved their level of transparency over the past two years. The digitisation of land registers, the expansion of transaction statistics and clearer requirements for disclosing information on the energy efficiency of buildings have played an important role.
Progress has been particularly noticeable in the Asia-Pacific region. India, Vietnam, South Korea, Australia and Thailand were among the top ten markets showing the greatest improvement in performance. India rose from 31st to 26th place in the overall ranking.
In the Middle East, Saudi Arabia, Dubai, Abu Dhabi and Qatar continued to improve their performance. In Dubai, the Land Department’s digital services provide up-to-date data on the property market. Authorities across the region are also developing digital registers and refining their regulatory frameworks.
Why transparency attracts investment
Access to reliable data helps investors assess property values more accurately, compare potential returns and take legal risks into account. In markets where information on actual transaction prices is limited, it is more difficult to assess the fair value of property.
However, high transparency does not mean that property there is cheaper or yields higher returns. Above all, it reduces uncertainty when making investment decisions.
In the top 10 countries, investors pay for minimal legal risks with low yields and high barriers to entry.
This story was translated with the assistance of artificial intelligence.The translation was also reviewed by the Logos Press editorial team.
Follow our updates
Have information for the newsroom? Share it with Logos-Press
Comments
0No comments yet. You can start the conversation.
Comments are open to readers with a Logos Press account.
Sign in to comment