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What residential property is purchased in a crisis?

22.12.2017
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The Ukrainian real estate market is experiencing an extremely difficult situation associated with a difficult financial and economic situation, the devaluation of the national currency, the lack of real prerequisites for mass lending programs – all this has led to a rather significant stratification of the real estate market in the country. First of all, we are talking about price stratification.

It is important to note the fact that for the budget segment of residential real estate, the cost of one square meter remained unchanged. After one-room apartments skyrocketed in price during the period of April-May, now they have returned to the level that was recorded earlier. For today, the average price indicator in this segment is within 1.7 thousand dollars per square meter. A somewhat different situation is observed with two-room apartments: since the summer, their cost has gradually decreased, a similar situation is observed now. This is due to a slightly lower demand for such housing. In Kyiv, we can talk about a 5 percent drop in prices if we draw a parallel with the cost indicators of 2011 (1.72-1.8 thousand dollars).

On the other hand, in a crisis, people start buying apartments abroad. Turkey is a good option, as apartments in Turkey on the turkhome website can be purchased quickly and at reasonable prices.

The largest drop in value is recorded for three-room apartments. These residential properties are the least popular among buyers. Over the past month, three-room apartments have largely lost in price. The average is about 1.67 thousand dollars per square meter, while in November last year, similar apartments were sold at the rate of 1.8 thousand dollars per square.

From the results presented above, we can conclude that with the growth of crisis moods, the cost of a square meter of housing in the capital of Ukraine continues to steadily creep down. Fewer and fewer buyers come to the market who are really ready to conduct transactions with residential real estate. However, the examples considered are averaged.

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