Covid-19 has made travelling and holidaying in other countries quite an annoying and inconvenient matter. This in turn has led to a significant demand for real estates at the coastal region of Belgium. Well-to-do Belgians who face hindrances of enjoying their overseas homes, are now spending their surplus wealth in their own country.
From the perspective of local economies, this sort of purchasing trend is a good thing. It is probably an exciting and joyful time for some real estate agents, especially those dealing with coastal properties and holiday homes.
Yet, I cannot help but wonder whether this is a wise way to spend ones wealth. As an economist once said, you cannot turn bricks into bread when you are hungry. One has to remember that we are dealing with many uncertainties at the moment. Second homes, especially those near large bodies of water, are not ideal investments in the long run. We also have no idea what kind of influences and functions money will have a decade from now. Making large scale purchases, locking up ones wealth in costly assets seem like a game of pure speculation and gamble.