Investeringsbeslut i fastighetsutveckling : En studie om vilka faktorer som styr bygg- & fastighetsbolagens investeringsbeslut gällande deras fastighetsutveckling

Sammanfattning: Problem description: The Swedish housing situation is a complex matter. For the last couple of years the construction rate has been high, but the housing shortage continues to be a problem. A lot of people can’t afford the homes that are built. The market has been in favor for real estate developers for a few years now. They’ve been able to develop expensive projects which they’ve easily been able to sell. As the economy changes more and more people will face difficulties in financing the expensive homes on the housing market. Research question: Which factors control investment decisions for construction and real estate companies regarding their real estate development? Purpose: The primary purpose of the study is to identify and describe how privately-owned real estate and construction companies manage investment decision, and the factors, choices and priorities in which the investment decision is based on. The study aims to analyse empirical data with existing theories to widen the understanding of how construction and real estate companies make their investment decisions and their choice of path in their real estate development. Limitation: The study does not incorporate businesses outside of Sweden, nor does it incorporate any other fields within real estate, such as management or agencies, than real estate development. Methodology: The study is qualitative to gain deeper knowledge and information in the area, and interviews were conducted with six of the largest construction and real estate companies in Sweden. Conclusion: There are several factors behind the investment decision made by real estate developers, and the impact they have on the housing market. Economic cycles have made it profitable for real estate developers to invest in new developments, which has led to increased housing prices. The local councils have had an increased impact in the development process, resulting in difficulties keeping the costs down. There has also been an overbalance in developing new projects instead of existing real estates, because the market for new projects is more lucrative. Private real estate companies are primarily interested in generating as much profit as possible, leading to them investing mostly in condominium apartments.